Stock Market Today Still Thinks The Fed Will Be An Inflation Fighter

"I see higher real yields coming to the detriment of risk assets. There are narrowing breakevens as investors contemplate the challenging year ahead for the global economy. Last week was exemplary of what I anticipate will be the market sentiment in 2023. The stock market today still thinks that the Federal Reserve will be an inflation fighter. Higher borrowing costs are weighing on housing and equity markets. The stock market today is waiting on whether there will be an erosion of demand," says Larry Shover.