The goods sector of the US economy (housing, autos, capex spending, etc.) is more sensitive to interest rates, and Fed hikes are having a more negative effect on the S&P500 than on GDP because the goods sector makes up a much smaller share of GDP, see chart below. In addition, the service sector which is most vulnerable to higher interest rates is tech, and the tech sector has also responded very negatively to Fed hikes. The bottom line is that it is not surprising that Fed hikes have had a more negative effect on the stock market than on GDP.
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