The Fed looks all set to raise interest rates by 75 basis points again on Wednesday. While a fourth-straight rate hike at this pace could push the economy into a recession, a slowdown of the pace of rate hikes later this year is widely expected by analysts.
On the other hand, the midterm elections are near, when voters determine which party controls the government’s legislative branch. This might heighten volatility in the stock market. However, the market volatility related to midterm elections usually does not continue for long.
