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2023 Mid-Year Market Outlook

Financial Decoder

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The Fed's Expectations for the Rest of the Year

The Fed's made it pretty clear that it wants to continue to increase the Fed funds rate in the second half of the year, at least hold it steady. Strategy all along has been hike rates first, get to a level that they're comfortable will reduce inflation and hold it there for a while until inflation comes down. So we seem to be in this transition from the hike to hold phase, but we can't rule out another rate hike this year if inflation doesn't come down faster and further.

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