State Street Portfolio S&P 500 ETF - SPDR

Setting aside grand theories, let's look at a past event. The week of December 17, 2018, saw the Fed raise rates on Wednesday and Quadruple Witching Day on Thursday—a schedule identical to next week's. That hike was also fully priced in, with pre-meeting market odds exceeding 70%. Yet, the S&P 500 fell 7.05% for the week and Nasdaq dropped 8.36%, marking the worst week since 2011. Three details warrant closer inspection. First, the rate hike itself came as no surprise. The selloff was triggered by Powell's remark at the press conference: 'QT is on autopilot and won't be changed'...