Powell Said the Fed Is Ready to Raise Rates

The stock market is having another good day today. Of course, it’s gotten so much more volatile recently that tomorrow could easily wipe out today’s gains. Today’s move seems fairly broad and no major areas are being left behind.

Yesterday, the ISM Manufacturing Index fell to 57.7. That’s still pretty good even though it’s the lowest in 14 months. That’s probably an Omicron effect. Any number above 50 means that the factory sector is growing.

This morning’s ADP jobs report said that 475,000 private payroll jobs were added last month. ADP also revised their January jobs number from a loss of 301,000 to a gain of 509,000. That just wrecks their credibility.

Jerome Powell said today that rate hikes are coming and that the events in Ukraine probably won’t change that. The next Fed meeting is two weeks from today. The futures market now shows a 98% chance of a rate hike.

Posted by on March 2nd, 2022 at 3:15 pm


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