I think there are a few layers here. First of all, the Fed is clearly behind the curve. And their credibility has been damaged by what has happened with inflation and the monetary policy response over the last few months.
Dalal Street Week Ahead: Time to get cautious & defensive after Nifty’s swift runup
From a technical standpoint, the previous week has created a gap. In the process, the index has shifted its support zones higher in the range