Pricing in Uncertainty
The discussion delves into the complexities of how interest rate changes are perceived and priced in by different market sectors. Julia highlights the distinction between capital markets and the credit channel, emphasizing that while rates may be telegraphed, uncertainty leads many, especially in commercial real estate, to delay adjustments. The recent shift in market psychology towards a "higher for longer" outlook is impacting mortgage applications and forecasts, revealing the potential consequences of this belief in sustained optimism.In this clip
From this podcast
Odd Lots
The Real Pain From Rate Hikes May Still Be on the Way
Related Questions