The stock market is under tremendous pressure as interest rates rise and inflation remains high despite a slight cool-off. Moreover, the benchmark indexes plunged as the policymakers revised their outlook for economic growth in 2023 downward from the 1.2% forecast in September to 0.5%.
Given the pace and intensity of Fed tightening, there is a strong likelihood that the U.S. will tip into a recession next year. But thanks to solid household balance sheets and resilient consumption, many analysts expect it to be ‘mild.’
