Fed Expected to Keep Rate Hikes on Table Despite Easing Financial Conditions
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The Fed will likely keep the door open for further rate hikes due to still high inflation and strong economic data.
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Financial conditions have eased recently, indicating monetary policy may not be restrictive enough yet.
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October data could show the economy remains resilient, supporting the case for more tightening.
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The bond market has lagged in appreciating the Fed's hawkish stance, spurring recent volatility.
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Markets hoping for imminent rate cuts have repeatedly eased conditions prematurely, forcing more Fed hikes.