As we move through the third quarter of 2024, the election jitters are starting to kick in. It’s pretty normal—markets don’t like uncertainty, and elections tend to bring plenty of that. The good news? It’s less about which party wins and more about having some clarity once the election is over. Once the dust settles, businesses can get back to making decisions, and things usually start to stabilize.

But after the election, our attention will likely shift back to the Federal Reserve. Typically, when the Fed lowers interest rates, it’s because we’re either heading toward a recession or already in one. Right now, though, we’re not in that territory, so their recent moves feel a bit unusual. It’s just another chapter in a decade full of surprises—massive government spending during good times, emergency stimulus during COVID, sky-high inflation, and rapid interest rate hikes. And despite all of that, we’ve avoided a deep recession. Go figure.

Normally, the Fed is criticized for waiting too long to act. But this time, they seem to be proactive. That said, we won’t really know the impact for another couple of quarters, since it takes time for interest rate changes to filter through the economy. Over the next six months, there’s a chance we could see the economy slowing down, more job losses, and maybe some turbulence in the markets.

So what should you do? My advice is to hold tight. Based on what we’ve seen over the last 10 years, both the Fed and Congress seem committed to doing whatever it takes to keep a deep recession at bay. Lowering rates should help stimulate the economy, just as raising them slowed things down. Of course, there are always other factors at play, so we’ll keep an eye on things to make sure your financial strategy stays balanced and in line with your goals.

If we do hit a rough patch, I expect there to be enough government support to pull us out of it. As always, I’m here to help you navigate these uncertain times, so feel free to reach out with any questions or concerns.

Let’s keep our focus on the long-term plan and stay the course.