Bank of America says hawks and doves both got something from Jackson Hole:
BoA's main takeaways:
- Fed Chair Powell's speech at Jackson Hole was somewhat balanced, with hawkish and dovish elements.
- Markets took the comments as slightly hawkish, moving closer to our call for a 25bp hike in Nov & only 75bp of cuts in 2024.
- We remain comfortable with our call for one more 25bp hike in November and 75bp of cuts next year, starting in June and proceeding at a quarterly cadence.
