Posted 1/8/2024, 11:41:00 AM
Fed Rate Cuts Unlikely as Inflation Stays High; 'Soft Landing' Still Possible But Recession Risks Loom
- Investors hoping for Fed rate cuts in March will likely be disappointed as inflation remains above the 2% target
- O'Leary sees over a 50% chance of a "soft landing" for the economy and avoiding recession
- Pandemic stimulus and supply chain issues drove high inflation, leading the Fed to hike rates
- The economy still seems relatively strong, but cracks may be appearing among small businesses
- Other economists warn investors to brace for stock declines and likely recession ahead