Although there are reports that Fed might be planning to slow down on its interest hike, perhaps they won't be slowing down soon. Likely another 25 basis point interest rate hike this week. History has shown that softening stance from Fed may lead to higher inflation. The central bank was now aggressively increasing interest rates to bring inflation back to around 2 percent, its long-established target. If the Fed failed to get inflation lower, it would damage its credibility and sow doubts about its ability to guide the economy.
The recent collapse of $SVB Financial Group(SIVB)$ and $Signature Bank(SBNY)$ may prompt Fed to think twice about more aggressive interest hike. Will inflation continue to drop without any further interest hike?? Nevertheless, it's always a good time to accumulate when there's fear. What do you think? Do let me know your thoughts!
@Daily_Discussion @CaptainTiger @TigerStars @MillionaireTiger
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Great ariticle, would you like to share it?