Reported about 4 hours ago
The stock market rally following Donald Trump's election victory is anticipated to increase the Federal Reserve's preferred inflation measure, potentially leading to sustained high interest rates. This surge in stock prices will reflect higher costs in portfolio management services, a segment closely monitored by the Fed as part of broader services inflation. Economists warn that continued stock market gains could complicate the Fed's approach to rate cuts, while those in the banking sector expect recent volatility to less significantly impact long-term inflation trends.
Source: YAHOO