Both stock and bond markets cheered that central banks are moving into the final stretch of rate hikes. Stronger than expected nonfarm payrolls and ISM Services today spoiled the fun and add to the dissonance. Central banks continued raising rates this week, with markets hoping the final phase of the rate hike cycle is near. Both the ECB and the BoE raised rates by 50bp, to 2.5% and 4% respectively while the Fed wound down the hiking pace to 25bp, bringing the Fed funds rate in the range 4.50-4.75%. The Fed and BoE will likely continue with 25bp rate hikes ahead, while the ECB signaled at least one more 50bp rate ... (full story)