Business & Finance
The Squeeze on Liquidity Is Just Getting Started
Key Points
MacroScope The Squeeze on Liquidity Is Just Getting Started The stock market’s supports are falling away as liquidity tightens and rates become increasingly restrictive. Kevin Warsh presided over a surprisingly hawkish Federal Reserve rate-setting meeting yesterday, his first as chair. But the FOMC is just catching up to the decidedly hawkish direction the market has already been heading in this year, as financial conditions experience their most significant tightening since the pandemic...
MacroScope
The Squeeze on Liquidity Is Just Getting Started
The stock market’s supports are falling away as liquidity tightens and rates become increasingly restrictive.
Kevin Warsh presided over a surprisingly hawkish Federal Reserve rate-setting meeting yesterday, his first as chair. But the FOMC is just catching up to the decidedly hawkish direction the market has already been heading in this year, as financial conditions experience their most significant tightening since the pandemic induced inflation shock.