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A 25 bp Rate Hike, but Will It Be the Last One?

The members of the FOMC voted on Wednesday, May 3 announced it would raise rates by +25 bp, as most on the Street predicted. The vote was unanimous. 

In its previous rate hike on March 22, the Fed wrote that “the committee anticipates that some additional policy forming may be appropriate.” This time, that phrase was modified–removing the words, “the committee anticipates.” Fed Chair Jerome Powell highlighted this, describing it as a “meaningful change.”

Our analysis 

The st...

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