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DWS: Fed rate-hike motivation was credibility, oil and bonds

Christian Scherrmann (DWS Chief U.S. Economist) says the Fed hiked rates this time mainly to protect credibility, citing bond-market pricing and recent oil-market developments.

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S. economist, said the main reason behind the Fed’s decision to raise rates this time was credibility, citing bond market pricing and recent developments in oil markets. S. inflation does not cool in the coming quarters, the Fed may deliver one or two rate hikes.