Can the Fed tame inflation without further crushing the stock market?  What’s next for investors?

Can the Fed tame inflation without further crushing the stock market? What’s next for investors?

The Federal Reserve isn’t trying to hit the stock market as it rapidly raises interest rates in an effort to slow inflation, still running in the red — but investors need to brace for more pain and volatility as policymakers are undaunted. by a deepening selloff, investors and strategists said. “I don’t think it’s necessarily…

Why ‘quantitative tightening’ is the wild card that could sink the stock market

Why ‘quantitative tightening’ is the wild card that could sink the stock market

Quantitative monetary easing is credited with cooling stock market returns and boosting the value of other speculative assets by flooding markets with liquidity as the Federal Reserve piled up trillions of dollars in bonds during the 2008 financial crisis and especially the 2020 coronavirus pandemic. Investors and policymakers perhaps they underestimate what happens when the…

Stock market investors cheered by July inflation data.  Big firms like Pimco and BlackRock aren’t so sure.

Stock market investors cheered by July inflation data. Big firms like Pimco and BlackRock aren’t so sure.

Wednesday’s release of the Consumer Price Index report for July contained enough negative surprises to give stock investors hope that the worst of inflation may be behind us. Still, an undercurrent of concern persisted at big-name companies like Pimco and BlackRock Inc., the world’s largest asset manager. According to Pimco economists Tiffany Wilding and Allison…