Kolanovic Says Rates ‘Went Too Far,’ Fed May ‘Surprise Dovishly’

"We believe rates market repricing went too far and the Fed will surprise dovishly relative to what is now priced into the curve," JPMorgan analysts led by Marko Kolanovic wrote Monday, in an asset allocation update. The bank made no major changes to its model portfolio, where overweights in equities and commodities are funded by underweights in bonds and cash. Later, the bank's Michael Feroli adopted a 75bps rate hike from the Fed as his base case for this week's meeting. He cited, among other