Free Trial
US TSY FUTURES

Bear Curve Steepening Hits High Gear

OPTIONS

Larger FX Option Pipeline

US TSY FUTURES

BLOCK, Large 10Y Ultra-Bond Sale

Real-time Actionable Insight

Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.

Free Access

MNI INTERVIEW: Aggressive Fed Risks Liquidity Squeeze-Hoenig

(MNI) Washington

The Fed will keep hiking into a weakening economy while hoping to avoid a liquidity crisis, Thomas Hoenig tells MNI.

The Federal Reserve risks triggering a sharp and sudden tightening of credit conditions in coming months as it tightens aggressively to make up for lost time, former Kansas City Fed President Thomas Hoenig told MNI.

The Fed has upped its pace of rate hikes at every meeting so far this year, increasing by 25 bps in March after standing pat in January, then by 50 bps in May and 75 bps in June. It is widely expected to deliver another 75 bps at next week’s meeting.

Keep reading...Show less
660 words

To read the full story

Why Subscribe to

MarketNews.com

MNI is the leading provider

of news and intelligence specifically for the Global Foreign Exchange and Fixed Income Markets, providing timely, relevant, and critical insight for market professionals and those who want to make informed investment decisions. We offer not simply news, but news analysis, linking breaking news to the effects on capital markets. Our exclusive information and intelligence moves markets.

Our credibility

for delivering mission-critical information has been built over three decades. The quality and experience of MNI's team of analysts and reporters across America, Asia and Europe truly sets us apart. Our Markets team includes former fixed-income specialists, currency traders, economists and strategists, who are able to combine expertise on macro economics, financial markets, and political risk to give a comprehensive and holistic insight on global markets.

The Federal Reserve risks triggering a sharp and sudden tightening of credit conditions in coming months as it tightens aggressively to make up for lost time, former Kansas City Fed President Thomas Hoenig told MNI.

The Fed has upped its pace of rate hikes at every meeting so far this year, increasing by 25 bps in March after standing pat in January, then by 50 bps in May and 75 bps in June. It is widely expected to deliver another 75 bps at next week’s meeting.

Keep reading...Show less