The near-term market outlook remains cloudy. While the S&P 500 is about 3% above its late-February lows, the Nasdaq and Russell 2000 have already undercut these levels. Further, there is little sign of relief, especially with the Fed’s hawkishness.
There are also many risks such as raging inflation, the war between Russia and Ukraine, shutdowns in China, and concerns that the economy could be slowing just as the Fed is embarking on a tightening cycle. In this kind of environment, investors have to be extremely judicious when picking stocks.
