Summary of Fed will continue to hike until rates are ‘sufficiently contractionary’, strategist says

00:00:00 - 00:05:00

The strategist in the video says that the Federal Reserve will continue to raise interest rates until they are "sufficiently contractionary." This could lead to a mild recession in the near future, but he recommends that investors take advantage of high quality bonds in the meantime.

• 00:00:00 The strategist says that the market's reaction to the jobs report shows that the FED won't change its course, and that wage growth is a signal that the economy is continuing to be strong. They also say that there is a potential for a recession in the first half of next year if businesses don't start to lay off workers.
• 00:05:00 The strategist says that the Federal Reserve will continue to hike rates until rates are "sufficiently contractionary." This means that the rates will continue to go up, and that this could lead to a mild recession in the near future. He also stresses the importance of duration in investing, and recommends that investors take advantage of high quality bonds.