If you are paying attention, it is abundantly clear that the Federal Reserve is hell bent on bringing inflation under control with its series of rate hikes.
In the last 365 days (as of 12/19/22), the Fed has taken the 10-year rate from 1.493 to 3.592. That is a staggering 241% increase…
241%.
However, what most people probably don’t realize is the rapidity with which the Federal Reserve has acted already.
The Federal Reserve has hiked interest rates higher and faster than at any in the modern era. In the current cycle, the Fed has hiked over 3.5% in under ten months.
By contrast, in the hiking cycle from 2004 to 2006, the same move took almost two years. (Chart from chartr.co)
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