The equity markets have been under pressure lately due to skyrocketing inflation and recession prospects due to the tightening of the monetary policy. The Federal Reserve has indicated further hikes this month to fight the surging inflation. Due to the macroeconomic headwinds, the S&P 500 index posted its worst first half since 1970.
Investors have grown increasingly worried about the economy slipping into a recession after the U.S. treasury yields resumed their upward swing. The 2-year yield rose above the 10-year yield, indicating that the economy might have set foot in a recession.
