The potential for marketwide shock is sky high
Heading into the Jackson Hole symposium, where Powell is expected to restate his resolve to keep tightening monetary policy to fight inflation, investor sentiment has been shifting. Equities and fixed income just staged their worst concerted selloff since June, after spending much of the previous two months in a rally mode.
Across assets, the utmost focus is the trajectory of inflation and the Fed’s plan to tackle it. With the central bank embarking on the most aggressive hiking cycle in decades, Treasuries have seen their status as a safe haven shaken. The swift rise and fall in yields — putting 2022 on track for the most violent year in more than a decade — have become a source of market stress, at times forcing investors to rein in risk appetite.
The “discordance turns Jackson Hole playbook upside down,” Barclays strategists including Stefano Pascale said in a note this week. “Risky assets face a reality check.”
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Lockstep markets primed for all-or-nothing sweepstakes on Powell - BNN BloombergNo one knows for sure what Chair Jerome Powell will say in his speech on U.S. Federal Reserve monetary policy Friday. One thing is clear, though: the potential for marketwide shock is sky high.
Read more »
Gold price would be $150 higher if not for the U.S. dollar – Wells FargoKitco News talks with some of the most influential gold market analysts, economists, investors and mining CEOS to get their take on the industry and financial markets and the global economy
Read more »
Ethereum is the 'most valuable asset in the world,' and now it's just a waiting game – Ether Capital CEOKitco News talks with some of the most influential gold market analysts, economists, investors and mining CEOS to get their take on the industry and financial markets and the global economy
Read more »
Scotiabank hit by wave of downgrades after earnings fall shortSends share price to worst drop since the pandemic ravaged markets
Read more »
Scotiabank hit by wave of downgrades after earnings fall shortSends share price to worst drop since the pandemic ravaged markets
Read more »
Scotiabank hit by wave of downgrades after earnings fall shortSends share price to worst drop since the pandemic ravaged markets
Read more »