Stock market outlook: Bull market could falter with higher rates

The bull market in stocks could get slammed back down, as the Federal Reserve's inflation fight will raise interest rates even higher and spark higher unemployment in the economy, Bank of America said.

Fed officials could end up raising interest rates to 6% within the next 12 months, strategists predicted, lifting the Fed funds rate another 75-100 basis points above its current range. That's largely because the central bank remains focused on its goal of bringing inflation back down to 2%, withGetting inflation below 3% could also bring a 4% or higher unemployment rate, as higher rates tighten financial conditions and weaken the labor market.

. The bank estimated there's a 25% chance that US could enter a recession in the next year, and a 70% chance the economy will enter a slowdown without a full-blown recession.

South Africa South Africa Latest News, South Africa South Africa Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Stock Market News: GameStop shares slump, S&P 500 near bull market, SCOTUS on student loansS&P 500 nears bull market, jobless claims jump, GameStop fires CEO and Ryan Cohen takes over, Carvana recovers and SCOTUS on student loans. FOX Business is providing real-time updates on the markets, commodities and all the most active stocks on the move.
Source: FoxBusiness - 🏆 458. / 53 Read more »

Stock futures dip after S&P 500 moves into bull marketU.S. stock futures eased back from near 10-month highs ahead of next week's inflation data and Fed decision .
Source: MarketWatch - 🏆 3. / 97 Read more »

Stock Market News: Tesla shares jump, Target downgraded again, S&P’s new bull marketThe S&P 500 is in a new bull market, more troubles for Target as the retailer gets another downgrade, Tesla’s winning streak continues as the stock pushes higher and all eyes are on the Federal Reserve’s meeting next week as investors handicap a potential pause to the rate hike cycle. FOX Business is providing real-time updates on the markets, commodities and all the most active stocks on the move.
Source: FoxBusiness - 🏆 458. / 53 Read more »

Bull market outlook: Stocks won't take off until 3 factors improve, RBA saysA new bull market in stocks won't take off until 3 key factors improve, RBA says
Source: BusinessInsider - 🏆 729. / 51 Read more »

Behold Wall Street's new bull market, maybePart of the uncertainty is that there is no set definition of a bull or bear market.
Source: Reuters - 🏆 2. / 97 Read more »