Fed Will Reverse Course on Rate Hikes, And Soon: Deer Point Macro The Contrarian Investor Podcast

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Deer Point Macro joins the podcast to discuss his view that the U.S. Federal Reserve will only hike interest rates once more before easing.
Content Highlights The Fed is not some magical organization that can control all parts of monetary economics (2:50); The Fed can create demand for credit, but banks have to provide supply. And banks are pushing back (5:03); What to make of the Fed's rate hikes this year? How has that affected bank portfolios? (9:37); The eurodollar market plays a significant role in Fed policy and its implications. An explanation (13:24); The Fed stands to raise once more, at its next meeting in July, before having to cut rates in September (16:21); Inflation is stubbornly persistent. Doesn't this force the Fed to raise rates? (19:57); Background on the guest (30:14); Markets don't really react to ADP employment data, but for economic detective work it can be vitally important (31:48); How this all translates to asset prices: good for bonds but commercial banks are maybe not as safe as some would think. But regional banks may be a better bet (35:11); What about cryptocurrencies? (36:34); Quick discourse on the so-called 'Fisher effect' that posits that inflation rises as Fed funds increase -- over the long term (39:14). More on the Guest Substack: DeerPointMacro.substack.com; Twitter: @DeerPointMacro; CommonStock: DeerPointMacro.