Will Omicron Kill The Fed’s Tightening? (Covid Drums Along The Potomac)

With the US Senate now trying to jam in vaccine passports in their Federalization of voting bill, it is clear that Washington DC is letting the Omicron variant terrify US citizens. But will the fear of the Omicron variant halt The Fed in its tracks?

Where do we currently stand? For the March meeting, it looks pretty likely that The Fed will raise its target rate.

And it seems likely that there will be 2 rate hikes by the June meeting.

Will The Fed ignore the “COVID drums along The Potomac” and raise rates (and shrink their whopping balance sheet)?