Morgan Stanley Macro Strategist Matthew Hornbach and Chief U.S. Economist Michael Gapen Analyze Fed Strategy to Skip a Hike While Signaling Future Tightening
Morgan Stanley Global Head of Macro Strategy Matthew Hornbach and Chief U.S. Economist Michael Gapen discuss factors that could speed up monetary tightening, the outlook for Treasury yields, and how the Fed can skip a rate hike now while signaling more are coming.
Morgan Stanley published a video interview titled "To Hike or Not to Hike" on October 28, 2026. The episode features discussions by Morgan Stanley's Global Head of Macro Strategy, Matthew Hornbach, and its Chief U.S. Economist, Michael Gapen.
According to the publisher's episode description, the two experts focus on three core topics: what factors could accelerate the pace of monetary tightening; what lies ahead for U.S. Treasury yields; and how the Federal Reserve can choose to skip a rate hike at this stage while using communication strategies to signal that further hikes are still on the table.
For professional readers tracking macro interest rate paths and market expectations, this resource offers a specific perspective from the core research team of a major global investment bank. Although a full transcript was not obtained, the identities of the guests and the concrete policy mechanism discussed (balancing a pause with forward guidance) constitute clear selection value.