was staking out a lonely and contrarian position. The Fed was projecting three cuts, and the market was pricing in five or six.
The Fed’s interest rate policy has weighed on economic growth far less than most economists and financial pundits expected. The widely heralded, as we correctly predicted. The labor market has remained solid and consumer spending strong. Surveys of consumer sentiment show that people are very unhappy about the economy, but that isn’t causing them to pull back from spending or ratchet up savings as a precaution against a downturn.
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