Democratic Large Cap Core ETF Price & Performance (DEMZ)

The likelihood of the Federal Reserve cutting interest rates two to three times by year-end has risen significantly, reaching 55% from 44.4% just days prior. This shift in expectations has influenced market behavior, with declines in key indices like the S&P 500 and Dow Jones, signaling investor uncertainty.1

The University of Michigan's consumer sentiment index fell 9.8% in February, reaching 64.7, its lowest level in months. Inflation expectations have surged, with the one-year outlook hitting its highest since 2023. Rising prices and shifting consumer behavior appear to be key contributors to this sentiment decline.1

Manufacturing data for February revealed weaker-than-expected growth, with the purchasing managers' index falling to 51.6, below forecasts. The services sector also contracted unexpectedly, with its PMI dropping to 49.7, marking its lowest point in over two years. These figures highlight challenges in economic momentum.1