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Justin Wolfers highlights a significant change in market expectations for U.S. interest rates.
He notes that Fed funds futures have shifted from anticipating a couple of rate cuts to now expecting the next move by the Federal Reserve to be a rate hike.
Wolfers recently noted that consumer sentiment is close to a 75-year low, with political perspectives potentially affecting survey results, in a previous analysis. He has also compared U.S. national debt to a mortgage, stating that issues arise only if borrowing resembles credit card debt. These perspectives add context to his views on market shifts and policy expectations.