Following a January rally, markets slumped in February after new reports signaled stubborn strength in the U.S. economy and job market. Investors hoping to see slower, smaller interest rate hikes had their hopes dashed when Fed Chair Jerome Powell indicated that additional tightening was likely necessary. Uncertainty deepened, even as the impacts of rate hikes began gathering like clouds over the economy, notably in construction, commercial real estate, and by early March, banking. We’ll look at the Fed’s tightrope act followed by a brief review of February markets.