Jeffrey Rosenkranz Featured in Wealth Management’s 2023 Mid-Year Outlook
The first half of 2023 was dominated by the Federal Reserve’s rate hiking cycle, which has been aggressive and purposeful. Market participants were consumed with predicting the path of rates, the terminal peak, and the timing of expected cuts. Along the way, the yield curve gyrated between steepening and flattening, and markets saw several premature calls on the peak of the cycle. The immediate impact of these higher rates on cooling the housing market and stressing the regional banking system were typical effects of tightening financial conditions, but the full effect has not yet reached all corners of the economy. These lagging impacts are theoretically understood, but often underestimated. Instant gratification is in our DNA, just ask the children with the marshmallows.
Read the commentary here: The Harder They Come, the Harder They Fall
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