Waqar Zaka’s live trading session captivated his audience as he transformed a $5,000 investment into an impressive $15,000 during a YouTube stream, drawing over 3,000 viewers. This remarkable event coincided with the Federal Open Market Committee (FOMC) meeting, where significant decisions about U.S. economic policy were being made.
Zaka’s trading was broadcast in real-time, allowing viewers to witness his strategic decisions as they unfolded. The timing was particularly notable, coinciding with the FOMC’s announcement of a 50 basis point cut to its key overnight borrowing rate—the first such reduction since the early days of the COVID-19 pandemic. This decision was prompted by easing inflation and signs of a slowing labor market.
“The Committee has gained greater confidence that inflation is moving sustainably toward 2 percent,” the Federal Reserve stated, indicating a cautious yet optimistic outlook.
Zaka’s bold trading strategy during this volatile period attracted both seasoned investors and curious crypto enthusiasts. Demonstrating his trademark confidence, he quickly capitalized on market movements following the FOMC’s rate cut announcement. Within minutes, his initial investment surged from $5,000 to $14,000, eventually reaching $15,000.
While Zaka’s success garnered attention, the broader economic landscape remains uncertain. The FOMC’s rate cut occurs amidst mixed signals from the U.S. labor market. In August, 142,000 new jobs were added—slightly higher than in July—but revisions to prior months revealed a reduction of 89,000 jobs, painting a less optimistic employment picture.
Compounding the complexity, inflation data showed that while headline inflation dropped to 2.5%, its lowest level since February 2021, core inflation—excluding food and energy—rose by 0.3%. With core inflation now at 3.2%, policymakers face challenges despite overall inflation cooling.
The Federal Reserve now navigates a delicate balancing act, weighing the risks of inflation against the potential for economic slowdown.
