The Federal Reserve is sending the financial markets into panic mode.
The leading benchmark stock indices are deep in the red. The commodities market is plunging. Treasury yields are falling.
It is bedlam on Wall Street.
How could anyone think the stock market is sound when investors panic at the thought of a possible interest rate hike and tapering of the central bank’s $120-billion-a-month in stimulus and relief.
That said, is the panic justified?
According to the CME FedWatch tool, most of the experts are not anticipating a rate hike until December 2021.
But could the Fed ever tighten monetary policy, considering how addicted the market is to the Eccles Building?
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