Do Fed bank regulators not at least read about what their monetary policy brethren are doing? Rates have been rising for a year! The regulatory executives who somehow overlooked this should be asked to polish their resumes and seek other pastures.
Private parties do tend to be more careful about their assumptions than the government, simply out of self-interest. We pay more attention when our own capital and/or income is on the line. But we are also humans with human frailties.
Economically, I’m on the slightly pessimistic side for 2023. Today we’ll talk more about my market outlook. The answer may be disappointing if you want me to be either bullish or bearish. I am neither, at least for now.