The stock market endured a challenging 2022 due to several macroeconomic and geopolitical challenges. Although inflation eased for two consecutive months, in October and November, minutes from the Federal Reserve’s December policy meeting show that the participants do not think that it would be correct to reduce the federal funds rate target in 2023.
The Fed’s stance looks justified as the U.S. jobless claims for the week ended December 31, 2022, fell to their lowest level in more than three months, signaling continued tightness in the labor market.
