Street Fed advice: Flip a coin, then do nothing

Traders work on the floor of the New York Stock Exchange.
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JPMorgan economists say there's a 50/50 chance of a rate hike this Thursday, advising clients to stay on the sidelines, at least in the short term.

"Unlike previous tightening cycles where there was a greater consensus around the initial hike, JPMorgan Economists view this week's FOMC decision as a 'coin flip,'" the firm's U.S. equity strategist Dubravko Lakos-Bujas wrote in a note to clients Wednesday.

Although a potential rate hike will likely be a source of additional market volatility, research from the investment bank shows that historically, no industries experience a statistically significant benefit from rising short term rates.

Despite all the noise, investors should pretty much sit on their hands this week, the firm says.

"While we believe a rate increase makes little difference to equity fundamentals, the implied pace of subsequent hike[s] ... will likely be a more important factor for equity performance," said Lakos-Bujas.