Reuters/Carlos Barria
- Stocks could be in for more Fed-induced turbulence, according to DataTrek research.
- That's partly because the Fed is unlikely to stop its quantitative tightening regime.
- The Fed has reduced its balance sheet aggressively over the past year, which could weigh on stocks.
The stock market is reacting poorly to August's run-up in interest rates after key bond yields spent most of this year trending lower in response to the outlook the Federal Reserve is likely close to being done raising interest rates.
According to DataTrek though, investors should buckle up for even more choppiness ahead.