Posts

Showing posts with the label fed rate hikes 2022

How Trustworthy Is the Latest Market Rally Resulting from the Fed Rate Hikes 2022?

Image
  Original Content- Business Upside  Markets are cheering the  fed rate hikes 2022  by 75 basis points announced at the end July. Soon after the Federal Reserve announced an  interest rate increase 2022 ,  stock markets  regained their buoyancy as stocks rallied. The Tech-heavy NASDAQ index moved the most, and the fall in short-term treasury yields indicated an easing of the monetary policy anytime soon. The market reaction seems curious because the latest Fed decision about  rate hikes 2022  did not involve deliberations among various stakeholders. Moreover, the Fed did not indicate a coming pivot from its aggressive approach. How is the Market seeing the Fed Rate Hikes 2022? Instead of trying to delve deeper to understand the dynamics underlying the decision of interest rate increase 2022, the markets are happy to see what they want to see. From the data accumulation, it seems there could be a reason for Fed to ease off on the pol...