Last Fed meeting for the year

Highlights:

Growth in consumer spending has slowed.

The economy has slowed significantly from last year’s pace. Financial conditions have tightened significantly since last year.

The Feds see a very strong labor market.

February rate decision will depend on incoming data. The Fed need substantially more evidence of lower inflation and may have to raise rates higher.

GDP Projections wouldn’t qualify as recession.

Rate hike speed is no longer the most important question. Most important question is how long we remain restrictive. Higher rates will probably be held for longer.