85% Chance of a Fed June Rate Hike According to a Poll

The video discusses the Federal Reserve's approach to normalizing interest rates, with a focus on a potential rate hike in June. It analyzes economic data, highlighting the disparity between consumer spending and confidence. The impact of rising rates on the housing market and consumer behavior is examined, noting that the market can absorb moderate rate increases. Finally, it explores market reactions to economic policies and expectations from the Trump administration.

What is the Federal Reserve's stance on interest rate hikes as discussed in the video?

• They are uncertain about any hikes.

• They plan to maintain current rates.

• They are committed to a hike in June.

• They are likely to decrease rates.

What economic factor is causing confusion according to the chart shown in the video?

• Rising unemployment rates

• Decreasing consumer confidence

• Divergence between consumer spending and confidence

• Increasing consumer spending

Which factor is mentioned as a reason for reduced consumer spending?

• Lower consumer confidence

• Decreasing employment rates

• Increased savings rates

• Rising healthcare costs

How does the video describe the housing market's ability to handle rising mortgage rates?

• It will collapse with any increase.

• It can absorb a 1 to 2% increase.

• It will thrive with higher rates.

• It will remain unaffected by rate changes.

What is one reason for the change in market expectations regarding the 10-year yield?

• A decrease in global economic uncertainty

• Increased confidence in the Trump administration's policies

• Disappointment in the Trump administration's growth agenda

• A surge in consumer spending