Bloomberg Surveillance · Thursday, September 3, 2026
Keith Leonard of Truist discusses the market's reaction to potential Federal Reserve rate hikes, noting that a pause could be a positive for the market, while a hike could introduce upside. He believes that while the September Fed meeting is crucial, it's unlikely to trigger a series of hikes, which would be more detrimental to the bull market. Leonard also points out that despite market fluctuations, credit spreads have remained tight.
“So If they decide to. Hold, I mean, that could potentially be some upside for the market, too.”
“So all in all, I think the market can handle another quarter point move. Again, if it's a series of hikes, I think that would be more problematic for the bull case.”
“On the other side, you know, then it's about the credibility of the Fed. So I just think around that, we're going to probably see some really strong reactions on both sides.”