The Federal Reserve left interest rates unchanged on 31 January, and the Fed chairman crushed hopes of rate cuts at its next meeting in March. Jerome Powell could not have provided clearer guidance to that end, stating: “[A cut] is not the most likely case or the base case.” His comments triggered a large risk-off move, with equity investors selling off to rectify their previously bullish allocations based on a strong belief in March rate cuts. US equity indices promptly took the kind of beating they have not seen in a long while, with the S&P 500 closing 1.52% lower