How the Fed Could Miss Their SEP

  • The SEP assume a sharp drop in inflation, no recession and a limited rise in unemployment
  • But, unless the Fed drives equities lower, far from slowing, growth could even reaccelerate
  • Stocks are much less sensitive to the level of rates than the availability of liquidity
  • While QT should address this, the debt ceiling could complicate the Fed’s job


To read more of this exclusive content, please log in below. If you have an account but have not purchased access or signed up for a free trial, click here.