The Kobeissi Letter
The Kobeissi Letter|Sep 17, 2026 00:20
President Trump is now saying the Fed should have cut interest rates to "1% or lower" today. Prior to today's rate hike, the target Fed Funds Rate was 3.50% to 3.75%, and it now stands at 3.75% to 4.00%. This means that after today's rate hike, President Trump is now calling for a rate cut of at least 300 basis points. Currently, the largest single-meeting rate cut in US history was 100 basis points in 2020 and 2008. President Trump's plan implies a rate cut of 3 times the current record. Q4 is going to be interesting to say the least.
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