JPMorgan's Amoroso Says Three or Four Fed Rate Hikes Is Not an Immediate Headwind to Equities

The transcript discusses the impact of communication styles on market reactions, particularly focusing on the Fed Chairman's testimony and its implications for market steering. It explores market expectations regarding rate hikes and their potential effects on the equity market and corporate debt. The discussion highlights the need for careful consideration of economic projections and the potential upsides of tax reforms.

What is the main reason markets are reacting to individual policymakers' opinions?

• Markets are used to hearing individual opinions.

• Economic projections need to be revised.

• Tax reforms have been fully incorporated.

• There is no impact on the markets.

Why did the Fed chairman open the door to a conversation about four rate hikes in 2018?

• To decrease economic growth.

• To steer the market in the right direction.

• To express personal opinions.

• To confuse the markets.

What was the market's initial reaction to the possibility of four rate hikes?

• The market was well-prepared.

• The market expected more hikes.

• The market was surprised.

• The market was indifferent.

How might interest rate hikes affect corporate debt?

• Interest expenses will rise dramatically.

• Corporate debt is mostly floating.

• Corporate debt will decrease.

• There will be no immediate headwind.

What is the expected impact of rate hikes on equities according to the discussion?

• Equities will benefit from rate hikes.

• No significant impact on equities.

• Equities will collapse.

• Immediate headwind for equities.