Let’s not forget about the global economy. And right now the focus is on the results of the FOMC meeting, one of the US Federal Reserve’s committees. There are reasons for cautious optimism.
The regulator made it clear that it is ready to slow down the rate of rate hikes. The inflation-suppressing measures are starting to work and the economy is slowing down. The important thing now is not to slide into recession – so it is unlikely that the rate will be raised above 0.5%.
The statistics show that the Fed’s tightening has already slowed the economy – business activity is down to 47.6 from 50.4 and jobless claims are up 240,000. If we keep pushing inflation harder, there are risks that 2023 will see even more layoffs at companies, not just in technology.
Why should we be happy for Washington? Inflation measures in the U.S. are driving up inflation in the rest of the world. Now they’re easing up a bit – you can exhale a little bit. But if I were in the EU, I wouldn’t exhale too much, they have enough problems there without the U.S. And life will be a little easier for everyone else. And investors will find where to put their money.