Jerome Powell to Kerry Craig: Expert take on US Fed's hawkish comments

The Federal Reserve on Wednesday signaled it is likely to raise US interest rates in March and reaffirmed plans to end its bond purchases that month as well before launching what was characterized as a significant reduction in its asset holdings. 

There’s a risk that the high inflation we’re seeing will be prolonged, there’s a risk that it will move even higher. We have to be in a position with our monetary policy to address all of those plausible outcomes

Jerome Powell, Chairman, US Federal Reserve 

The stock market is especially vulnerable to higher rates and the removal of the tailwind that