HSBC's Major Says Fed Not Hiking Rates for ‘Many Years to Come’

The video discusses recent changes in asset allocation and maintains a year-end forecast of 50 basis points, despite consensus expecting 100. It explores the Fed's strategy to keep yields low for an extended period, drawing parallels with Japan's long-term low rates. The discussion highlights the challenges in predicting future rate hikes and emphasizes the likelihood of low yields persisting for decades.

What is the current year-end forecast for basis points according to the speaker?

• 75 basis points

• 100 basis points

• 50 basis points

• 25 basis points

What does a steeper yield curve typically indicate?

• Decreasing inflation

• A worsening economy

• Stable interest rates

• Improved economic conditions

What strategy is the Fed using to manage yields?

• High for shorter

• High for longer

• Low for longer

• Medium for moderate

How long does the speaker suggest the 'low for longer' strategy might last?

• 10 years or more

• 5-7 years

• 3-5 years

• 1-2 years

What is the speaker's view on the Fed's long-term interest rate projections?

• They are just right

• They are too low

• They are irrelevant

• They are too high