Tell Me Again, The Fed Needs To Cut Rates -- February 22, 2024

Locator: 46875INV.

The Fed needs to cut rates but not to appease investors.

At the close:

From a post on February 15, 2024:

• the question: has the Fed waited too long to cut rates? The answer: yes.
• the two observations:
• the gap between Wall Street and Main Street is widening; and,
• the gap between Main Street and Oak Street is also widening.

We'll talk about this later tonight if we have time, but I think anyone paying attention can see what I'm seeing.

WTI: up over half a percent; closed at $78.45.

• Chevron down one cent today, but up 9% this past month:

Enbridge: my problem

• I've held it forever
• cost basis is so low, not worth calculating
• for the longest time, I had automatic dividend reinvestment
• I stopped that a few years ago
  
• dividend: just declared 68 cents / share; historic high
• according to Google charts, cost basis for ENB bought in 2001 = $7.00 / share
• that's as far back as Google charts go; I would have started accumulating ENB back in the 1990s
• so, let's say, cost basis is $5
• annual dividend at 68 cents / quarter = $2.72 annual
• 2.72 / 5 = 54% (yeah, I know, there's more to it than that)
• Enbridge may or may not have much appreciation in its future, but it tends to raise its dividend on a "more than" regular basis; and, 
• then, of course, there's the capital gains tax if I were to sell