Federal Reserve Rate Preview: Investor Expectations

The video discusses the Federal Reserve's current stance on interest rates, highlighting the unlikely possibility of a rate change in the upcoming meeting. It examines recent inflation trends, comparing PCE and CPI against the Fed's target rates, and provides historical context by referencing inflation in the 1970s. The video also explores market reactions, including the S&P 500's decline and changes in the yield curve, in response to the Fed's tightening bias.

What was the market reaction to the Federal Reserve's decision to maintain a tightening bias?

What does the yield curve indicate about the current interest rate regime?