Hold That Tiger! Fed Keeps Rate At 0.25% But Doubles Pace Of Tapering To $30 Billion A Month (3 Rates Hikes Forecast For 2022, 3 In 2023) Dow Rises Over 300 Points

The Fed’s new theme song is “Hold That Tiger” meaning that despite soaring inflation rates, The Fed kept their target rate at 0.25%. Way to really pull a Volcker and raise rates to choke off inflation. … NOT!

However, The Fed doubled the pace of tapering to $30 billion a month. Median forecast shows three rate hikes in 2022, three in 2023.

The reaction? The Dow rose 363 points as of 3:36pm EST and the 10-year Treasury yield rose a measly 1.9 bps as markets celebrate The Fed DOING NOTHING TO CURB INFLATION.

Here is Fed Chair Jerome Powell singing “Tomorrow” from the musical Annie. Since Powell and The Gang love to kick the can down the road.