In The Breakfast Brief, Fed has introduced rate hikes of 50 basis-points, in an aggressive attempt to combat inflation. This will push the federal funds rate to a range of 0.75%-1%, and current market pricing has the rate rising to 2.75%-3% by year’s end. We are also seeing these hikes in India and Australia, and possibly England in the near future. In addition, Covid-related lockdowns in China are likely to worsen supply chain disruptions, in turn increasing inflation risks.