The pace of rate hike is the fastest in 40 years and the largest in such a short time. One more move shoul be enoughMany investors in the bond market are anticipating a final 25-basis point hike at the upcoming meeting. The FOMC’s latest “dot-plot” forecast indicates only one more rate hike this year. As the Fed approaches its last hike, there is a possibility that the US dollar may remain weak, which could provide further support for the pound and euro. Very dangerousDespite the recent slowdown in inflation and the possibility that this could be the Fed’s last rate hike, it would be risky for the Bangko Sentral ng Pilipinas (BSP) to change its monetary tightening policy ahead of the Fed.

Source: Philippine Star May 01, 2023 01:02 UTC