Quote:
Originally Posted by antzcrashing
Yep but the market was pricing in 50 point hike next, and rate cuts next year, Bc it created an alternative reality. His comments moved the needle to 75, with a chance of 100, so the market corrected.
|
Right. Expectations of the hikes moderating and then ending imminently, followed by cuts soon thereafter, are exactly what you called it - an alternative reality. Zero or near zero percent rates is not a normal state even though it may have seemed that way for a long time. Much volatility ahead.