Today, I think something quite important has happened: Markets slipped ever so slightly out of the Fed’s grasp. Is this a preview of things to come?
I have been talking to some of my top colleagues in bond, currency and and equity markets today, and there is one word that has most immediately come to my mind: Disarray.
And I am not primarily talking about the price action, which has been quite volatile: The 10Y Treasury yield up over 7% to 2.36%, high yield bonds down by almost 1.5%, emerging markets bonds getting clobbered down more than 2.0%, from the highs, and the S&P 500 down by 23 points. I am talking about the fact that there is no consensus whatever regarding what the FOMC and its Chairman actually said or meant by what they said. And most everybody seems to be scratching their heads as to why the markets have reacted as they have.
In this exclusive report to my subscribers, I am going to offer some insight about what is going on.
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