The Fed wraps up its two-day meeting tomorrow, and the decision is already priced in: rates hold at 3.5–3.75%. That’s not the story. The story is that this is Jerome Powell’s last meeting as Fed Chair — his term ends May 15, 2026. The Senate Banking Committee votes on Kevin Warsh’s nomination Wednesday morning at 10 a.m. Eastern.
Markets are already front-running the transition. Capital is rotating, yield curve expectations are shifting, and sectors that spent three years in the background are getting a second look. The S&P 500 closed at 7,174, and what’s moving underneath the surface matters more than the index level.
Here’s what we’d tell any client: our process doesn’t need to call the Warsh era before it starts — it’s built to read what markets are actually doing and respond when the data moves. Right now, our models are signaling that we may see some near-term weakness in equities. But they’re also telling us that the best is still ahead for stocks and commodities, not behind us. We’d rather hold that view with conviction than react to this week’s headlines.
What that means for your portfolio specifically depends on where you’re positioned today. If you haven’t reviewed your allocation recently, give us a call — this is exactly the kind of environment where a focused conversation is worth an hour.
For informational and educational purposes only. Not investment, tax, or legal advice. Forward-looking statements reflect our current views and are subject to change. Lake Hills Wealth Management is an SEC-registered investment advisor.