While it is broadly expected that interest rate hikes may be dialed down to 25 basis points this week, concerns over declining consumer spending have kept markets on edge.
Investors are wary that the central bank may interpret a healthier-than-expected GDP growth and labor market tightness as a license to tighten the screw further and overcook the economy toward a severe downturn. This skepticism led to a 1.3% intraday decline in S&P 500 yesterday.
