Macro Analysis /
United States of America

Fed hikes but fails to convince markets that rates can hold at 5% at year-end

  • The Fed shot down last week’s expectations of a pause, but recession risks raise the odds of a dovish pivot by Q4 23

  • We anticipate more near-term US inflation upside, making it difficult for the Fed to pivot before H2 23

  • More than ever, EMs are caught in the middle of the Fed’s inflation fight, hurt by hikes and their effects on demand

Fed hikes but fails to convince markets that rates can hold at 5% at year-end
Tellimer Research
23 March 2023
Published byTellimer Research

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