To The Moon

Since the November FOMC meeting, market expectations for future rate hikes have changed slightly, as shown in the table below, from the day after the last FOMC meeting to the end of last week:Notable changes include:Modest expectations for a 25 basis point rate hike by January (32.5 per cent) have shifted to slightly narrower expectations for a rate cut (4.8 per cent).The rate cut was not fully priced in until July.Market expectations for a rate hike in March have shifted from 11.7 per cent to 49.4 per cent.Interest rate expectations fell 25 basis points in December to 4.334% from 4.543%. In other words, there will be one rate cut in 2024.The chart below shows the pace of the current quantitative tightening (QT) of the Fed's balance sheet. The latter table shows the SPX's reaction to recen

The three major US stock indexes touched 52-week highs during Tuesday's trading, with $S&P 500(.SPX)$ hitting its highest level since January 2022. Chip stocks show strength on Tuesday. They benefit from AI heat in 2023. $Broadcom(AVGO)$ and $KLA-Tencor(KLAC)$ reached all-time-highs of $1079.39 and $564 respectively. $Advanced Micro Devices(AMD)$ hit another 52 week high of $139. $Qualcomm(QCOM)$ closed at $136, one step closer to 52 week high of $139. $Adobe(ADBE)$ , the generative AI concept stocks, continued to break record an