Bob Michele

Unlike the Fed, which has a dual mandate, they have to watch the labor market as well as inflation.

The ECB and the Bank of England have single mandates.

They have to watch inflation.

And there's no differentiation between core and headline.

All they know right now is headlines going up a lot.

Hence, they're talking hawkish.

You would expect the ECB to hike rates once or twice in here or watch for the Bank of England.

Well, if you look at their position, there's little else they can do.

A lot of the infrastructure in their country has been destroyed, and yet somehow they're able to control the global supply of oil by controlling the Strait of Hormuz with a fleet of drones, despite all the military might of the West.

And I think this is what the market's starting to get concerned about.

The administration may want an off-ramp, but the Iranians don't need to give him one.