This could bring on the last big hoorah for Fed rate hike talk

The last big blast of data before the Fed meets next week could stir up a final debate Thursday about whether there’s a September rate hike in the offing.

“It’s a bearish bet on Treasury prices. That’s an inverse fund. Money is going into it over the last few days, and it’s a bet that long-dated Treasurys are going down. It’s a short-term indicator,” Kosar said

Kosar said that’s not necessarily a bad omen for equities. “In my opinion, if rates are going higher, knee jerk obviously is bad for stocks. But bigger picture, how I look at that is, if I’m a stock market bull I would much rather see (10-year) rates at 2 percent or 1.90.  At 1.90, the Fed and the bond market are expecting recovery of some kind,” he said.

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