@olystuart
Just now: US Fed raised rates by 25 bips (0.25%) by unanimous 12-0 votes.
Quick thoughts:
- this was expected by a high margin. Though I thought there was a chance that was wrong because of Trump manipulation, it's no surprise the fed rate futures market at 90+% was a correct prediction. It would have been a shock if they held rates
- I don't think this will have much effect on the markets or interest rates for consumers, besides avoiding the disaster scenario
- what's driving inflation isn't affected by the fed funds rate so I don't think anybody is optimistic this will be enough to actually bring down inflation
- they'll likely hike again before the end of the year
- this is probably bullish for the markets but I'd be cautious trading it because it was already priced in
Thoughts?
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