S&P 500 at Risk as 'Double Hawk' Scenario Takes Shape

The S&P 500 is facing potential risks due to a 'double hawk' scenario where both the Federal Reserve and Bank of Japan adopt aggressive rate hikes.

The Fed recently raised rates by 25 basis points, signaling a new tightening cycle with rates staying higher for longer and delaying cuts until at least 2028.

This environment raises concerns about increased US debt refinancing costs and potential volatility from a yen-carry trade unwind.