Fed Back on Inflation Watch and Risk Premia Shoot Higher
The Fed realigns its focus on inflation, causing major shifts in rate cut expectations...
Highlights
The Fed realigns its focus on inflation, causing major shifts in rate cut expectations...
... and triggering a selloff across risk assets
Economic growth has been focused in the consumer and government
Stretched valuations and lofty expectations make for an unappealing risk/reward backdrop
Key Takeaways
Fed Statement Sparks Market Volatility
Before the Fed press statement yesterday, the stock market was doing just fine. After the announcement, there was a swing to the red but nothing too dramatic. And then Powell pontificated and was so all over the map that it is no wonder the major averages tanked.
