The increasing concerns over a recession with the continued tightening of monetary policy in response to surging inflation have kept the stock market under immense pressure lately. The S&P 500 has lost more than 20% year-to-date.
According to economists polled by Reuters, the Federal Reserve could announce another 75 basis-point interest rate hike in July, followed by a half-percentage-point rise in September. “It is, unfortunately, uncomfortably possible that the Fed is going to slam on the brakes and push us into recession,” said economist Mohamed A. El-Erian. The market is expected to remain under pressure throughout the upcoming months.
-copy-29e15046.jpeg?w=600)
