NEW YORK - Investors are settling in for a long slog in the U.S. stock market in coming months, braced for more tumult in the banking sector and worries over how the Federal Reserve’s tightening will ripple through the economy.
"The market is very nervous at this point and investors are acting first and looking into the nuances later," said Wei Li, global chief investment strategist at fund giant BlackRock ."It's understandable because it’s not super clear that this is definitely contained."). The company's shares have lost around more than a quarter of their value this month, including Friday’s 8.
“It’s almost like the prisoner’s dilemma where if everyone agrees that they won’t pull their deposits then everything should be okay, but if just one person decides they are getting out then the snowball keeps growing,” said Tim Murray, capital market strategist in the Multi-Asset Division of T. Rowe Price, who is underweight equities, focusing on money market accounts that offer yields comparable to Treasuries.
Further banking industry failures could mean sooner rate cuts as weakened financial conditions allow the Fed to ease up on its fight against inflation, said Tony Rodriguez, head of fixed income strategy at Nuveen. Futures contracts suggest the Fed will start cutting rates by year-end.
What's happening ? 🤔
Nothing but FUD.
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🤔 are they care about that Or they make super inflation and they buy crypto too Are they print and print to buy crypto? If like that crypto will super bullish and USD will be colaps
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Source: Reuters - 🏆 2. / 97 Read more »