The Federal Reserve’s determination to combat inflation gives investors reason for optimism, though risks tied to oil prices and artificial intelligence prevent them from fully committing, according to Bloomberg.
Last week, the Fed restored its credibility by showing, through a hawkish message, that it was not falling behind the curve, without signalling an aggressive cycle of rate increases. The message initially calmed markets, but unease persisted on Friday as the 10-year Treasury yield again tested 5% and the S&P 500 swung between gains and losses. Oil prices have retreated, but Brent crude remains above $100 a barrel.
