To the new generation in a new world ~ “The hawks speak again”
Just one day after interest rates were held steady, Fed officials are raising their voices again.
St. Louis Fed President Musalem said rates may need to rise again “soon” to curb sticky inflation; Dallas Fed President Logan said at least two more 25-basis-point hikes are needed; Richmond Fed President Barkin also backed gradual rate hikes.
It’s not the decision itself. It’s the tone after the decision.
Earlier, the U.S. Bureau of Economic Analysis had released its figures: third-quarter GDP grew at an annualized preliminary rate of about 3.4%, while September PCE inflation was about 3.6% year over year. Growth remains strong, and inflation has not gone away.
On one side, a statement holding rates steady; on the other, a hawkish follow-up jab.
According to the summary, markets are discussing roughly a 75% probability of another rate hike in December (unverified; check sources such as CME FedWatch for the precise figure). A year ago, markets were still pricing in multiple rate cuts.
Pricing can flip because the mix of data has changed, not because the slogans have.
The tech sector is also coming under pressure. According to the summary, investors sold off major tech stocks after disappointing earnings, and there is talk of the Nasdaq 100 entering its third technical correction of the year. Intel, Amazon, Alphabet, and others are in focus as returns on AI spending and guidance come under pressure (share-price declines to be verified).
Strong growth, sticky inflation, and pressure on tech—all converging in the same window.
What really determines the next move is not who shouts the loudest, but whether the next batch of data turns “further tightening” from talk into a trade.
The above is for informational and opinion-sharing purposes only and does not constitute investment advice.
Rates held steady, but hawkish voices rise;
Strong data still weighs on the rate outlook.
Tech under pressure shifts market pricing;
The tide ahead depends on the next report.
— Mingdao
Just one day after interest rates were held steady, Fed officials are raising their voices again.
St. Louis Fed President Musalem said rates may need to rise again “soon” to curb sticky inflation; Dallas Fed President Logan said at least two more 25-basis-point hikes are needed; Richmond Fed President Barkin also backed gradual rate hikes.
It’s not the decision itself. It’s the tone after the decision.
Earlier, the U.S. Bureau of Economic Analysis had released its figures: third-quarter GDP grew at an annualized preliminary rate of about 3.4%, while September PCE inflation was about 3.6% year over year. Growth remains strong, and inflation has not gone away.
On one side, a statement holding rates steady; on the other, a hawkish follow-up jab.
According to the summary, markets are discussing roughly a 75% probability of another rate hike in December (unverified; check sources such as CME FedWatch for the precise figure). A year ago, markets were still pricing in multiple rate cuts.
Pricing can flip because the mix of data has changed, not because the slogans have.
The tech sector is also coming under pressure. According to the summary, investors sold off major tech stocks after disappointing earnings, and there is talk of the Nasdaq 100 entering its third technical correction of the year. Intel, Amazon, Alphabet, and others are in focus as returns on AI spending and guidance come under pressure (share-price declines to be verified).
Strong growth, sticky inflation, and pressure on tech—all converging in the same window.
What really determines the next move is not who shouts the loudest, but whether the next batch of data turns “further tightening” from talk into a trade.
The above is for informational and opinion-sharing purposes only and does not constitute investment advice.
Rates held steady, but hawkish voices rise;
Strong data still weighs on the rate outlook.
Tech under pressure shifts market pricing;
The tide ahead depends on the next report.
— Mingdao