The Federal Reserve on Wednesday signaled it is likely to raise US interest rates in March and reaffirmed plans to end its bond purchases that month as well before launching what was characterized as a significant reduction in its asset holdings.
The stock market is especially vulnerable to higher rates and the removal of the tailwind that the Fed’s asset purchases have provided for the past two years
Chris Zaccarelli, CIO, Independent, Advisor Alliance
Fed rate hikes are coming, but the Fed is likely to ta-ke a measured approach to avoid sharp market declines in equity prices. This is less bearish for equity than some feared
Jason Schenker, President, Prestige Economics
The statement and particularly Powell’s presser were quite hawkish: opening the door to 50-bp hikes and possibly hiking at every meeting
Mike Schumacher, strategists Wells Fargo
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