I don’t see a rate hike this year. Bill Gross is on CNBC right now saying that he expects it in June or thereabouts.
I think they do it just to show that they can/will do it. In the grand scheme it won’t change anything and is nothing more than symbolic.
10Y UST 1.7269
that being said Gundlach says it’s a very bad idea to raise rates for “philosophical reasons”
The whole goal w/ rate hikes is fighting inflation. There isn't any, and so a rate hike is not only not needed but it just adds to the risk of deflation.
mho....