BlackRock cautions against relying on Fed rate cuts for market success.

BlackRock warns that investors are too confident the Federal Reserve will cut interest rates this year and could pay the price later. The expectation for cuts would be consistent with a recession and an accompanying fall in inflation, assumptions that Wall Street strategists think are dubious. BlackRock recommends clients focus on investments like fixed income that is indexed to inflation, as well as very short-duration government bonds.