A subtle shift in Fed reaction function? ...when bond less CPI "reactive" and equities see extreme negative positioning

There was a lot of macro chatter, commentary and analysis over the weekend following the extreme market moves post the "very hot" Sept CPI. But there were a few subtle changes that caught many people's attention:

Post-CPI and even pre-CPI (days into), Fed officials uniformly spoke about staying the course even as CPI seems hotter. This is a more balanced view and reflects the growing risks of financial liquidity issues.Several economists, citing the recent BLS study, noted that Shelter/OER...

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