Published July 7, 2023
There are a wide range of inputs portraying a change in investor attitudes over the past few weeks. Our friends at Delta Research offer one possibility of the change in how interest rates are viewed. We hope you find it interesting.
“The Federal Reserve raised the Fed Funds rate from 0%-0.25% to 5.00-5.25% since March of last year. The pace and amount of rate increases came as a surprise to most market strategists. The reason for the surprise is market strategists believed the economy would slow rapidly as a result of much higher interest rates. Coming into 2023, the market expectation was for one more rate hike, a pause and then rate cuts in the second half of the year. The Fed raised rates in March and May of this year and now is expected to raise again in July and then once again later in the year. (more…)