The market is continuing to respond to the Federal Reserve's 50-basis point rate cut on Wednesday. Current sentiment suggests the Fed may successfully guide the economy toward a soft landing, bolstered by the recent jobless claims that indicate a solid labor market.

In the housing market, inventory is rising due to the lower rates, yet the market remains tight, as evidenced by the persistent increase in median home prices. The Fed anticipates an additional 50 basis points cut by the end of the year, followed by a total of 100 basis points in cuts next year and another 50 basis points in 2026.