The Fed’s hawkish stance to deal with the stubborn inflation has led to massive sell-offs in the stock market. The S&P 500 index is down more than 22% this year. The central bank expects to maintain its approach until it hits a terminal rate of 4.6%, which could hurt the stock market further.
However, the market sell-offs have created some lucrative investment opportunities. Since stark rallies typically follow market bottoms, this might be the opportune time to pick quality stocks with solid rebound potential.
