The U.S economy muddled through a spate of high inflation, with employment staying strong last year despite inflation rising to a 40-year high. Now, markets are signaling that the muddle is ending and something worse is replacing it. The Federal Reserve, the markets’ BFF during much of the last decade, is now more like a frenemy. On Sept. 21, the Fed raised interest rates by three-quarters of a percentage point, as expected. It also signaled more aggressive rates hikes ahead. This is the… Source link
Read More »The stock market has been in free fall since the Fed said ‘pain was coming.’ Morgan Stanley says buckle up for another drop
“Fire and ice” isn’t just a show about dragons and zombies on HBO. It’s been Michael J. Wilson’s vision of the stock market throughout 2022. Wilson, the chief investment officer at Morgan Stanley, has argued that stocks are fighting a toxic combination of economic headwinds—which he calls “fire” and “ice”—that are set to keep equity prices subdued until late 2023. The stock market’s summer rally was cut short last month as investors digested a reaffirmation of the… Source link
Read More »Crypto investors should ‘buckle up’ for more volatility: Harvard Lecturer
Bitcoin (BTC-USD) in recent days leapt past the symbolic round number of $40,000 and the 50-day moving average of $42,800, as traders hoped for a sustained rebound of the cryptocurrency after a significant sell-off. But the asset is hardly out of the woods, says Vikram Mansharanmani, a lecturer at Harvard University and author of “Think for Yourself: Restoring Common Sense in an Age of Experts and Artificial Intelligence.” Mansharanmani, who recently spoke to Yahoo Finance’s Akiko Fujita for a… Source link
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