This is what usually happens once the rate cuts start.

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Wall Street has a new religion: the rate cut. But to receive its blessings — beefier market valuations, more robust lending activity, a stronger-ish economy — there must first be a sacrifice. It’ll have to be the U.S. economy being sacrificed.

Economic data has become the backbone of investors’ macro predictions, with investors increasingly leaning on jobs and inflation data to predict whether the Fed will cut interest rates. Doing so would stand to bolster equities, already at all-time highs, and bring down generationally-high yields.

After Friday’s payroll report showed the U.S. economy added just 22K jobs in August, many see a 25 basis point (0.25%) cut as a done deal. Some are even betting on a supersized 50 bip cut. But Wall Street’s “bad news is good news” mantra might not stand up.

https://www.thestreet.com/markets/jpmorgan-warns-of-possible-market-pullback-as-fed-cut-looms