Although some U.S. economic data indicates the economy is still doing fairly well, it seems the Federal Reserve may still cut rates at its July 30-31 meeting, citing growing concerns about the global economy and tepid growth in business investments. While the Chairman did not explicitly say a rate cut was going to happen, the market believes it is all but guaranteed. The question now is by how much will the Fed cut rates – 25 basis points or more?

The Fed sees its first dissent vote under the current leadership as they signal possible rate cuts in the coming months. A bipartisan bill to make changes to bank-qualified debt eligibility for tax-exempt issuers to be introduced next month. Also, looking at how international affairs should impact your investment strategy.

The Federal Open Market Committee (FOMC) concludes its policy meeting, today. Will they offer any cues as to whether we have reached the peak fed funds rate for this tightening cycle, or will the market be left with uncertainty about the future trajectory of Fed actions?

Global uncertainties persist and the full impact of U.S. tariff hikes have yet to kick in. Investors have fled to bonds driving yields down to multi-year lows. Also, bipartisan legislation introduced recently by ten House lawmakers to reinstate tax-exempt advance refunding faces opposition in the Senate.