The Fed meeting proved relatively quiet until the market got the memo from Jay Powell and his ilk. The base case is another hike unless any upsets happen from now and until New Years.

Cuts are miles away and frankly not something they have even truly discussed at this stage. The US growth is doing better than peers and that was also acknowledged by the Fed now labeling growth as “solid” in the US.

All in all a big/strong day for this betting on US superiority. We continue to lean this way as well! Buy USD and buy US assets.

Chart 1: The new dot plot