Dominique D'Orfico's Shift in View on the Fed

Dominique D'Orfico, previously known as a hawk on the Fed, has now become dovish. She predicts that the Fed will lower rates by 50 basis points in March, with additional cuts in the first half of the year. This is a more aggressive view compared to the market consensus of 25 basis points cut over 12 months. Dominique's change in view was influenced by Chair Powell's guidance, which focused more on actual inflation data, specifically core PC. She believes that the risk of low inflation is present, and preemptive cuts are necessary to prevent it from taking hold.