If the Federal Reserve's main policy goal these days is to tighten financial conditions, then it should be pretty close to achieving its goals, according to an Evercore ISI analysis. In fact, the Fed recently set up its own measure — the Financial Conditions Impulse on Growth , or FCI-G. "The Fed will have to consider the tightening in financial conditions when setting rates in coming months, including the decision whether to hike in September." "Our base is that the Fed will not raise rates further and developments in financial variables reinforce our call." Market pricing is largely in line with the call that the Fed halts its hiking cycle after raising rates 11 times since March 2022.

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Persons: Evervore, Krishna Guha, Guha, Marco Casiraghi Organizations: Federal, U.S ., Fed, FCI, Evercore ISI, Treasury, Traders, Group, Citi, Cleveland