McCullough: The Fed Is Tightening Into Recession

Hedgeye CEO Keith McCullough reminds subscribers to The Macro Show to stick with the #Quad4 gameplan as Fed rate hike expectations have continued climbing higher since July 4th.

“We’ve been saying since the beginning of January that the Federal Reserve is going to tighten into one of the biggest #Quad4 slowdowns of the modern era,” explains McCullough. “Now, they’re going to continue to tighten into a recession.”

“The signal could change my mind, but if it doesn’t, just keep doing what we have been doing. It’s straightforward.”

[pouyatehrani]

and what is it that we do? long cash short stocks?

[frontrowtennis]

How exactly is the Fed tightening? Here is a recent 30 day view where their balance sheet increased $20B between May 25 and June 22

[bernthenrikwallin]

If there is a chance of recession, of course Fed will make it worse! I do have a local railroad bridge to sell to anyone who thinks that The Fed is trying to help.