Dovish Fed? We're Buying Real Estate, Industrials And Energy

Allkindza/E+ via Getty Images This article was coproduced with Leo Nelissen. Going into this year, the market priced in six rate cuts. Seven/eight months ago, that assumption was - for lack of a better word - nuts. The market quickly had to adjust its expectations when it turned out that inflation was coming down slower than expected, with headwinds from sticky wage inflation, a robust economy, and elevated crude oil prices. As we can see below, going into this year, the implied probability of a Fed funds r ...