Concerns over record-high inflation, supply chain constraints, a continuing war between Russia and Ukraine, and expected aggressive interest rate hikes by the Federal Reserve have kept the stock market under pressure. Many analysts expect these lingering issues, coupled with high energy prices, to foster a recessionary environment.
Last week, Fed Chairman Jerome Powell indicated an interest rate hike of 50 basis points in May to restore price stability. However, the global supply disruptions and bans on Russian oil, natural gas, and crucial commodities are expected to push inflation to new highs. In addition, the March jobs data suggested a tight labor market.
