The Fed inflation fight forces the repricing of risk

There are few times in a year or in a decade where is there is a general repricing of risk across equities and bonds. We are in one of those times. The Fed is changing is changing policy in response to past excesses. In June, the market said it did not belief the Fed, but after Jackson Hole, the latest 75 bp change, and the dot-plots, the markets are getting the message of central bank resolve. 

September returns reinforce the early basis to repricing of risk. The world has changed with a policy and repricing bias. Portfolios will continue their adjustment process.