How Markets Would Respond To A Hawkish Fed
by Tyler Durden By Steve Englander, global head of FX strategy at Standard Chartered How asset markets would respond to a hawkish Fed Being dovish is harder than it looks for the FOMC. We expect two hikes in the 2023 dots. The consensus probably is close to expecting a single hike. If we are right, the initial response would probably be to add another half hike to the three already priced in by end-2023, taking the USD higher. But we think the Fed can present its dots as good news -- a maximum employment soft landing is approaching quicker than expected. However, continuing the attitude of ...
Source: zerohedge.com