Fed Rate Hike Draws Warning From BofA as Holiday Spending Comes Into Question

Bank of America issued what was described as a stunning warning about the Federal Reserve's rate hikes, though the specific content of the warning was not detailed in available reporting. The warning follows the Fed's decision to raise the federal funds rate, a move separate commentary said was unlikely to have surprised markets. Attention has also turned to how the rate increase could ripple into consumer behavior, with one report examining its potential effect on holiday shopping spending this year. What is unresolved is the precise substance of BofA's warning and whether it points to further hikes ahead or a different risk tied to the current rate path.