Stocks Extend Losses After Yellen Says “Rates Will Have To Rise”

Treasury Secretary Janet Yellen is speaking at The Atlantic’s “Future Economy Summit” this morning – a speech she pre-recorded yesterday – and has sparked some chaos with her comments.

The highlight was this…

“It may be that interest rates will have to rise a little bit to make sure our economy doesn’t overheat”

And this didn’t help…

“We’ve gone for way too long letting long-term problems fester in our economy”

Is she talking about Fed-sponsored wealth-creation widening the inequality gap?

Watch her remarks here…

And the response – stocks puked as one would expect at the first signs of the punchbowl being taken away…

We wonder what Jay Powell will have to say about Janet stepping on his toes? Did she just start the process of thinking about thinking about thinking about normalization?