Fed's Bostic Sees Half-Point March Hike as an Option

The video discusses the potential for aggressive rate hikes by the Federal Reserve, as indicated by Atlanta Fed President Raphael Bostic. The market is pricing in multiple rate hikes, with expectations of up to seven this year. Wall Street strategists are adjusting their forecasts accordingly. The discussion highlights the impact on the yield curve, with concerns about a potential inversion and recession. The video also explores the implications for investors positioned for a curve steepening, who may face losses due to these developments.

What psychological questions are being raised in the market regarding policy mistakes?

What impact have the recent Fed bets had on those positioned for a curve steepening?