A mere increase in rates to about to 5%would lead to about 25% plunge in equity prices
The rate market suggests traders have fully priced in a 75-basis-point hike next week by the Federal Reserve, with a slight chance for a full percentage point move.
Traders expect the Fed fund rate to peak at about 4.4% next year, from the current range of 2.25% and 2.5%.
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