Page 3 - Fed Pivot News Today

Fed Minutes Reveal Uncertainty on Rates; Barkin Cautious About Soft Landing By James Christie Good day. Minutes of the Federal Reserves Dec. 12-13 meeting released Wednesday revealed some...

"It's going to clip your coupon, you're not going to have a lot of defaults, and your returns may even be better than the equity markets."

Rising faith in a central bank dovishness has driven a nearly 10% gain in global bonds since early November, Bloomberg reported.

While the odds of avoiding an economic recession have increased with the Fed pivot, history provides no strong guidance around the eventual success. Entering 2024, one should be prepared for possible turbulence as the Fed attempts a smooth landing.

Defaults next year will rise to a rate of 3.5%-4.0% for leveraged loans, and 5.0%-5.5% for high-yield bonds, Fitch Ratings says.

ZeroHedge - On a long enough timeline, the survival rate for everyone drops to zero

Third-quarter economic growth was revised down to 4.9% from an earlier reading of 5.2%.

"This cycle is decidedly different than any we have experienced for the last several decades, due to the overhang of high inflation."

As sentiment for SOFI stock has quickly shifted back to bullish, let's see whether momentum can stay on its side in 2024.

The admissions from these usually gloomy forecasters mark a turning point after they advised clients to stay cautious on US stocks this year — even as the market surged toward double-digit gains that have left major indexes at or near record highs.