#fedhikes25bpsusstocksclose The Fed
just turned hawkish.
At its September meeting, the
Fed
unanimously raised rates by 25 bps to 3.75%–4.00%, while signaling that another hike could still be on the table this year.
The bigger story isn’t this 25-bp hike — it’s the market repricing for “Higher for Longer.”
Inflation remains above the 2% target, domestic demand and the labor market remain resilient, while energy prices and tariffs could continue to put upward pressure on consumer prices.
The market’s core equation is simple:
Sticky Inflation → Higher Rates → Multiple Compression
AI and tech fundamentals may not have changed, but the rate environment supporting their valuations is changing.
Over the coming months, 10Y Treasury Yields + Inflation + the Fed could matter more than any single earnings report.$BR $AKE $CVC
just turned hawkish.
At its September meeting, the
Fed
unanimously raised rates by 25 bps to 3.75%–4.00%, while signaling that another hike could still be on the table this year.
The bigger story isn’t this 25-bp hike — it’s the market repricing for “Higher for Longer.”
Inflation remains above the 2% target, domestic demand and the labor market remain resilient, while energy prices and tariffs could continue to put upward pressure on consumer prices.
The market’s core equation is simple:
Sticky Inflation → Higher Rates → Multiple Compression
AI and tech fundamentals may not have changed, but the rate environment supporting their valuations is changing.
Over the coming months, 10Y Treasury Yields + Inflation + the Fed could matter more than any single earnings report.$BR $AKE $CVC
