In a dramatic turn for the economy, former National Economic Council Director Kevin Hassett declared today a “beautiful day” for the U.S. economy, following the release of unexpectedly positive GDP data. With a stunning 3% growth rate and core inflation dipping to 2.1%, Hassett urged financial markets to recognize the implications of these figures as a sign for the Federal Reserve to consider cutting interest rates.

Amid a backdrop of fluctuating stock prices, the Dow Jones Industrial Average has been on a rollercoaster ride, reflecting investor uncertainty ahead of the Fed’s crucial announcement. Hassett emphasized that the current economic climate, characterized by high income growth and a significant drop in inflation, contradicts fears of an impending recession. “Instead of inflation soaring, we’re witnessing growth,” he stated, highlighting the positive impact of supply-side policies under the Trump administration.

As anticipation builds for the Fed’s decision, Hassett pointedly remarked that the central bank’s current interest rates are considerably higher than those of other major economies, suggesting a disconnect that could be addressed. His call for a rate cut aligns with market expectations, which are heavily leaning toward a reduction, aiming to stimulate borrowing and alleviate the crisis-level homeownership challenges facing many Americans.

With the clock ticking down to the Fed’s announcement, all eyes are on Jerome Powell and the potential for a pivotal shift in monetary policy. As the markets await clarity, Hassett’s assertion that the data supports a rate cut could ignite a rally, providing much-needed reassurance in these uncertain times. The economic landscape is poised for change, and the stakes couldn’t be higher.