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When markets get a jolt!

Markets woke to the fact that the interest rates could go much higher than 5%, which was the ceiling markets had given for "soft landing"

Now that Bernanke came out with very hawkish statements on inflation, the markets were jolted our of their reveries that interest rates can go much higher and into the realms of "hard landing" rates.

This jolt, surprise was what caught market on the wrong foot.

And it has been seen that whenever the markets have been jolted with a big surprise, there has been a reversal in trend.

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