“This is what the market did in 1974, ahead of a slowdown in 1975, and the Fed continued to hike rates in the face of marginal data turning worse, ... I don't see where the Fed sees 'traction'.”
Robert Brusca
“This is what the market did in 1974, ahead of a slowdown in 1975, and the Fed continued to hike rates in the face of marginal data turning worse. I don't see where the Fed sees 'traction'.”
“If you look back to 1994 when the Fed was hiking rates continuously, after every rate hike the Fed adopted a neutral bias. However, the tightening cycle continued until early '95, for a total of 300 basis points (3 percent). We are not looking for that type of tightening cycle this time, but nevertheless it does suggest that the neutral bias does not preclude further rate hikes down the road.”
Harvinder Kalirai
“Treasury yields are generally moving higher because the market expects the Fed to continue to hike.”
Bernd Wuebben
“I think the Fed is going to continue to hike. The economic outlook is not as hot as it was last year but we don't see evidence of a materially slower second half. Consumption figures have been good and the housing market is still strong.”
Steve Van Order
“Preparing the markets for a rate hike is a process in which the Fed gradually has to back away from its unduly pessimistic stance of recent months. This will take some time, but the process is now underway.”
Ian Shepherdson
“The Fed rate hike and statement has largely been digested by the market.”
Jeff Young
