Goldman Sachs Now Sees Fed Rates Peaking at 5% in March

Reuters

Fed up? Stocks up!

If world markets on Monday take their cue from Friday’s melt up on Wall Street it will round off what has, in many ways, been a truly remarkable month. Investors face another (likely) bumper U.S. rate hike from the Fed later this week, and profit-taking and re-positioning as the new month begins could also burst the revival bubble. The implied Fed terminal rate rose around 50 bps to 5% (also Goldman’s new forecast), bond yields rose, global inflation remained sticky, 2023 recession risks increased, and the Q3 U.S. earnings season has been patchy at best, or a disaster at worst.

Source: finance.yahoo.com