Data calls for rate hikes, the market insists on cutting rates? Is the market collectively "deceiving itself"?

Jobs are booming, inflation is soaring, and the data clearly signals "it's time to raise rates," but the market and the Federal Reserve seem to ignore it, wholeheartedly sticking to the idea of cutting rates?

Data: Strong employment, excessive inflation, conditions ripe for rate hikes.

Federal Reserve: All FOMC members are not considering rate hikes.

Market: Interest rate futures are pricing in at least two rate cuts this year, with even a third possible.

This is not an economic issue; it’s clearly political pressure overriding economic reality!

In the context of an election year, this self-hypnosis of a "rate cut consensus" could be abruptly jolted awake by inflation data at any moment. Once expectations reverse, the market will undergo a sharp correction.

Don’t be swayed by collective sentiment—stay alert to remain steady in the storm.