After December Lift-Off, Fed In No Rush For Further Rate Hikes: HSBC

After the first rate hike or “lift-off” of 25bps in December, the FOMC will move slowly, spacing out two more 25bp rate hikes over course of next years, believe analysts at HSBC. In their Dec. 3 research note titled “U.S. Economic Outlook,” Kevin Logan and Ryan Wang at HSBC pegged U.S GDP growth in 2016 at 2.3%, which is below consensus. Rate hike – USD approaching the end of 2015 on a high note Logan and Wang point out that the U.S. GDP has increased 2.2% over the last four quarters. They note that if one were to exclude the drag…