Expect tighter balance sheet policy from Fed, says Ironsides Macroeconomics' Knapp

分组1 - The discussion centers around differing expectations for the Federal Reserve's monetary policy, with one analyst anticipating a hawkish stance while the other leans towards a dovish outlook [1][4] - The market has been preparing for a potential hawkish cut, with clients expecting uncertainty regarding future cuts, possibly not occurring until June [2][3] - A dovish cut could also be interpreted positively if the Fed indicates a willingness to consider more rate cuts in the future [3][4] 分组2 - The current market conditions show that indices are near all-time highs, which may mitigate the perceived risks associated with a hawkish Fed [6][7] - The market has adjusted to the Fed's slightly hawkish institutional stance, which may be influenced by external pressures [7][8] - The Fed's approach to quantitative easing (QE) is crucial, as it involves buying Treasury notes and mortgage-backed securities, which lowers long-term rates and influences equity prices [11][12]