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Is the Fed Getting Closer to Neutral?
The price action of late suggests that what central banks have done so far are beginning to have an impact on economic growth. And we do think that they likely will need to tighten a bit more than whats currently embedded in the fright end of yeal curves. We still have thought that your three and a half were four % type funds rate, combined with a material balance sheet reduction, wi likely be enough,. A, to slow the economy and get inflation back towards their target.