Hiking rates far more dangerous than staying put

  • After a high-volatility stretch early this year, markets are dead.
  • The conditions which led to early-year volatility are still in place, with one exception: the Fed is off the table, no longer raising rates.

We’re back to cowboy movies: “It’s quiet out there — too quiet.” After a high-volatility stretch early this year, markets are dead. Little movement in price, and trading volumes falling. But the conditions which led to early-year volatility are still in place, with one exception: the Fed is off the table.