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Liz Thomas reports that the probability of a rate hike now exceeds 60 percent. She adds that the 10-year yield is at 4.56 percent, and markets are already starting to test new Federal Reserve chair Warsh as Jerome Powell’s term as chair concludes today.
Thomas previously noted momentum and growth factors gained nearly 10 percent month to date, while low volatility and quality lagged behind in the latest rally here. Earlier this month, she reported that only four out of 28 tech-exposed industry groups outperformed the S&P 500 here. The market's focus has shifted to monetary policy and leadership at the Fed as Powell's term ends.