Some thoughts to start the week:
Maybe the biggest week of 2023 so far. With Jerome Powell on deck we get the first salvo from the Fed to see how they interpret the latest inflation data.
No doubt, the term everyone will be listening for will be “the neutral rate”
From our perspective, we simply look at the inventory and the positioning. We are in rare air to end the prior week and participants are under hedged going into the release. This means that we are more susceptible to larger moves to the downside than if participants were already headed up to weather the release.
Stay up to date with us via our Twitter posts this week.
Define your risk and trade well!