The move by the Fed was more hawkish as they signalled three interest rate hikes next year. The BoE are concerned about inflation (via higher wages) and have hiked as the first G7 central bank to move on rates. The ECB have said their PEPP is coming to an end. So, central banks are showing their hands. Inflation is more of a concern than Omicron right now.
Markets are leaning more risk off today at the session start. Equity futures are lower, commodities lower, bond yields down, and the FX space showing a risk off tilt. AUD, NZD, & CAD are all weaker. The CHF, EUR & JPY are all showing strength. Remember, this will be an important day for setting the tone for next week as markets think about the plethora of central bank action we have had this week.
