Meanwhile, they expect the Fed to lower borrowing costs by a similar amount in that period. “The growth drag in the US” from the oil shock is “modest relative to Europe and the UK,” Shah wrote. At the start of the week, worries around the risk of a tandem threat from hotter inflation and softer growth roiled markets. Traders have consistently been pricing in Fed easing this year, in part amid signs of a cooling labor market. Shah also cautioned investors against taking the opposite side of recent market moves as some popular positions have begun to unwind.

Source: The Edge Markets March 09, 2026 22:58 UTC