Tom Lee Says Upcoming Fed Hike Could Set Up the Next Market Rally

Tom Lee believes a potential Federal Reserve rate hike could pave the way for the next market rally, suggesting the market may have already reached peak hawkishness.
Key points include:
- Lee states the Fed cannot become much more hawkish from current levels, and incoming data could provide officials with room to soften their stance.
- He highlights that an upcoming core PCE methodology update could potentially pull the reading down from 3.4% toward 3%.
- With equities already oversold, he argues that another 25 basis point hike would still not be severe enough to break the economy or the market.