Here comes the Feds!
It is Fed's decision day again! It seems like ages since the last rate hike! And the markets don't seem flustered by the looks of it. They keep rallying.
I mentioned this in my most recent article and will say it again here. 'It seems like most are rather hopeful the FOMC will set a more dovish tone. Remains to be seen if they will. I do not envy the FOMC's position really. They do not want a rampant high flying market too soon in fear of exarcerbating inflation. Neither do they want to spook them too much. So it is very much a balancing act.
I believe the FOMC will keep rates elevated longer. They might not indicate a pause yet andmight even hint at more rates ahead and evenpossibly a higher terminal rate in view of the market getting ahead of themselves. This is toprevent inflation rebounding after being brought under control. So they would probably risk a recession rather than stare at uncontrolled inflation.
Thanks for reading!
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.
Ok