Man, it feels like interest rates SHOULD get to 15% in the next year, but I don't think Powell has the guts to grind the stock and real estate markets into dust the way he's supposed to
For now, he seems committed to raising rates until inflation normalizes. I don't think he's very worried about stock and real estate markets. But at some point, there will be effects in the real economy, and unemployment will start to rise.
Hopefully, inflation will go down at around 5% unemployment. But if he has to continue tightening until unemployment hits 6, 8 or 10%, I suspect he will will be forced to eventuall pivot, even if he doesn't want to.
