Why The Fed Won’t Hike On Wednesday

This is a really smart note from @rareviewmacro:

 

Market_Note

To boil this down, a rate hike on Wednesday will likely to serve to only ‘tighten’ market conditions further, whereas, a decision to keep rates on hold would generate a sell-off in the US dollar and a rally in crude oil which would provide much needed relief to the high yield space.

As we pointed out on Saturday the Fed is between a rock and a hard place. With high yield under renewed pressure this morning the market may be forcing the Fed’s hand yet again…

 

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