Concerns over a fragile financial system after recent bank failures complicate the Fed’s rocky path to slowing the economy. The central bank is now weighing upbeat recent economic data against jittery capital markets in deciding how much higher rates can go when it meets next week. Amid a highly volatile market backdrop, it could be wise to invest in quality stocks Visa Inc. (V), Merck & Co., Inc. (MRK), and Salesforce, Inc. (CRM).
Turmoil in the financial sector continues to weigh on stocks following the collapse of Silicon Valley Bank last Friday and the closure of Signature Bank of New York on Sunday. Recent high-profile bank failures complicate the Federal Reserve’s fight to control stubborn inflation.
