BlackRock CIO: Fed Expected to Cut Rates in September, Current Market Offers "Best Investment Environment in History"

According to ChainCatcher, citing a report from CoinDesk, Rick Rieder, BlackRock’s Global Chief Investment Officer of Fixed Income, stated that the current market presents “the best investment environment in history,” mainly benefiting from strong corporate earnings, fixed income products yielding 6.5%-7%, and historically low volatility. He believes the Federal Reserve may begin cutting interest rates in September, with a cumulative rate cut of 100 basis points possible over the next year.

Rieder pointed out that although tech stock valuations are relatively high, the MAG-7 constituents—excluding Tesla—still offer an attractive 54% earnings growth rate. He also warned that the market may be overly optimistic about risks such as credit spreads. Analysts believe that if rate cuts materialize, ample liquidity could drive up risk assets such as crypto assets.