Freedom56
Thinks s/he gets paid by the post
If the market has priced in a cut this year, that is silly. Nothing I've heard or seen should have created that expectation. An easing of increases, possible a hold by EOY, at best.
A quarter or two of normal inflation should be a good marker to stop the increases and then decide where to go after that.
Here is the silly market in action.
"Market-based expectations are for the Fed to cut rates by roughly a half-percentage point in the latter half of the year, according to derivatives prices via FactSet. Yet some policy makers have pushed back on the chance of any rate decreases in 2023, saying borrowing costs will have to stay high for some time to bring down inflation."
https://www.wsj.com/articles/global-stocks-markets-dow-update-01-12-2023-11673523999