Dutta Expects Fed to Hike Rates More Than Once From Here

Watch on YouTube ↗  |  September 16, 2026 at 19:40  |  2:31  |  Bloomberg Markets
Speakers
Neil Dutta — Renaissance Macro (Quoted)

Summary

Neil Dutta of Renaissance Macro Research argues the Fed is likely to hike rates more than once from here, citing a stabilizing labor market, lower unemployment bias, upward revisions to core inflation, and ongoing price pressures from AI-related electronics, oil and gas, and food. He also warns that this backdrop is not a good setup for equities because the consumer is likely to slow. The discussion centers on the risk of more tightening and its cross-asset implications.

  • Neil Dutta expects more than one additional Fed rate hike.
  • He cites stabilizing labor market conditions and a lower unemployment-rate bias.
  • Core inflation forecasts were revised higher.
  • AI-related electronics, oil and gas, and food are cited as inflation pressures.
  • He sees reasons for the consumer to slow from a high watermark.
  • He says the setup for equities is not good as the Fed keeps hiking.
Ideas
Neil Dutta Renaissance Macro (Quoted) 0:08
Fed will hike more than once
The Fed is likely to raise rates more than once from here because labor market conditions have stabilized, the unemployment rate bias is lower, core inflation forecasts were revised up, and inflation pass-through from AI-related electronics prices, oil and gas, and food remains a concern over the next few months.
Fed Funds Rate HIGH
Neil Dutta Renaissance Macro (Quoted) 1:45
Oil and gas prices unusually rising
Oil and gas prices are rising at a time of year when they normally fall, adding to inflation pass-through and reinforcing the case for additional Fed hikes over the next few months.
XLE LOW
Neil Dutta Renaissance Macro (Quoted) 2:18
Equities setup is not good
Equities face a poor setup because the consumer is likely to slow after already hitting a high watermark, while the Fed is likely to keep hiking rates, creating headwinds for equity momentum.
SPY HIGH
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This Bloomberg Markets video, published September 16, 2026, features Neil Dutta discussing Fed Funds Rate, XLE, SPY. 3 trade ideas extracted by AI with direction and confidence scoring.

Speakers: Neil Dutta  · Tickers: Fed Funds Rate, XLE, SPY