LAGARDE COMES OUT FIGHTING

The hawkish ECB shift is enough for the 'tourist to throw in the towel

This morning, I thought I would write another piece about how the market was mis-interpreting Powell’s comments as too hawkish. But then, ECB President Madame Lagarde made any debate about the FOMC moot.

The ECB raised rates by 50 basis points - that part was expected. But, the market was not prepared for the other parts of Lagarde’s press conference.

Lag…