Market Updates

• Short Treasury yields were close to unchanged last week as the Fed confirmed investor’s anticipation for no change at the FOMC meeting. As expected, the Fed kept rates unchanged and signaled that it was moving to the sidelines for the foreseeable future, reflecting increased confidence in the economic outlook.

• Four members of the FOMC expect a rate hike next year, and none of them are looking for a cut. The Fed is emboldened by incoming data that has mostly exceeded expectations, most notably the robust jobs report for November, as well as receding trade threats.

• Four members of the FOMC expect a rate hike next year, and none of them are looking for a cut. The Fed is emboldened by incoming data that have mostly exceeded expectations, most notably the robust jobs report for November, as well as receding trade threats.