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Mid-Year Outlook: What’s next for the US economy, inflation, and the Fed?

The View From Apollo

CHAPTER

The Fed Is Not Hiking When Everyone Else Is Still Hiking

The ECB is still catching up to the level of where short-term interest rates are in the US. The Fed did start this rate hike cycle before others and at the same time, the speed with which the Federal Reserve has been raising interest rates has been faster. We should expect central banks to remain hawkish and keep the cost of capital elevated for quite an extended period.

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