San Francisco Federal Reserve Bank President Mary Daly believes another 75 basis-point interest rate hike might be needed in July to curb reckless inflation. A “soft landing” wouldn’t be easy for the Fed if that happens. According to Bob Schwartz, senior economist at Oxford Economics, retreating bond yields indicate an economic slowdown.
Moreover, Goldman Sachs has reported that a recession is twice as likely as earlier estimated. The market volatility is evident from the CBOE Volatility Index’s 63.8% year-to-date increase.
