As markets bet banking turmoil will prompt the Federal Reserve to pause rate hikes before Europe, U.S. bonds and European equities are tipped to win from the recent ructions.
As markets bet banking turmoil will prompt the Federal Reserve to pause rate hikes before Europe, U.S. bonds and European equities are tipped to win from the recent ructions.. | March 23, 2023
They also expect smaller lenders in the United States, at the heart of the banking turmoil, will have a bigger impact on the U.S. economy, raising recession risks in the world's largest economy. So while traders price in a swift end to Fed hikes, seeing just under a 50% chance of a 25 bps move in May, followed by rate cuts, further tightening is anticipated in Europe.
As markets bet banking turmoil will prompt the Federal Reserve to pause rate hikes before Europe, U.S. bonds and European equities are tipped to win from the recent ructions.
As markets bet banking turmoil will prompt the Federal Reserve to pause rate hikes before Europe, U.S. bonds and European equities are tipped to win from the recent ructions.