From Kris Sayce – Port Phillip Insider (Australia) –
- Batten down the hatches
- Forget global warming, here comes global cooling
- Something big is coming
According to the latest numbers provided by Bloomberg, there is a 94% chance the US Federal Reserve will raise interest rates in December.
It’s the most certain we’ve seen the markets in a long while on the question of interest rates.
If the Fed really has been gagging to raise rates, it’s never had a better time to do so. Given the near certainty, we should be able to assume that the market has fully priced a rate rise into all asset prices — including stocks and bonds.
So, it’s a done deal, right?
As it stands now, yes, that appears to be so. But then again, the Fed’s next meeting isn’t until 14 December. That’s a heck of a long time.
Anything could happen between now and then. And even at that point, the US will still be more than a month away from the inauguration of its 45th president, Donald J Trump.