Watch what the Fed chief said, that has the markets collapsing 1000 points

Federal Reserve not only confirmed that the globe should brace for rate hikes come March but also opened the door to faster rate hikes as the US central bank battles with inflation at a 40 year high.

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Fed Chairman Jerome Powell sounding extremely hawkish said asset purchases also are likely to halt in March, and the central bank released a paper outlining principles to start “significantly reducing” the bond holdings on its balance sheet without indicating a specific time frame.

A rate hike would be the central bank’s first since 2018, with many analysts forecasting a quarter-point increase in March to be followed by three more this year and additional moves beyond.