Higher For Longer

A Hawkish Hike. The Fed’s decision to hike rates 25 basis points, to a 3.75%–4% range, was unanimous. The SEP’s Dot-Plot showed a vast majority of participants penciled in at least 1 more hike for 2026. The statement and Dot-Plot were more hawkish than expected. Unlike most assets, the Dollar’s spike higher was showing that…