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While Fed Funds futures imply a 100% probability that The Fed hikes rate by 25bps tomorrow, it appears questions over Trump's policy timeline combined with the collapse in GDP expectations has dragged expectations for another rate hike in June back to its lowest since the election...

As GDP growth expectations have plunged so April Fed Funds futures have tumbled - completely against the common sense that The Fed hikes into strength, not weakness...

But the lower chart shows the July futures not following the collapse and fading that disappointment.

Authored by David Stockman via DailyReckoning.com,

As of October 24, the U.S. Treasury was flush with $435 billion of cash. That was because the department’s bureaucrats had been issuing debt hand-over-fist and piling up a cash hoard, apparently, for the period after March 15, 2017 when President Hillary Clinton would need to coax another debt ceiling increase out of Congress.

One week after Gallup measured US economic confidence at the highest level on record, just days after Trump gave his now long-forgotten "conciliatory" address to Congress, the mood appears to be souring somewhat not only for regular Americans but also small businesses.  In Gallup's latest weekly economic confidence reading, it found that Americans' confidence in the economy returned to its recent levels last week after a record-setting post-recession high the week before. Gallup's U.S. Economic Confidence Index was +9 for the week ending March 12.

Authored by Michael Lebowitz via RealInvestmentAdvice.com,

On the night of the U.S. Presidential election, many investment assets went from a state of sheer panic at the prospect of Donald Trump winning the election, to manic euphoria as the glorious narrative of Reagan-esque economic revival was born with Trump’s victory. Euphoric markets are not generally built on durable substance, and they eventually reconcile with reality as investors come to their senses.

Via Disobedient Media