Now: Inflation and Recession
The main event yesterday was the speech from the Fed Chair Powell in front of the congress. Powell begun his speech with a strong tone in fighting against the inflation. According to him, the current rate hike will continue but remain appropriate until the inflation reach the goal set by the central bank. From the tone, the risk of the recession increases all over the world and especially the US market as Powell add that any size of rate hike is possible.
In the Europe, the situation between Ukraine and Russia has push the food prices higher. According to the German Chancellor, Olaf Scholz, the situation may persist as the negotiation with Russian President, Vladimir Putin, still did not result in any progress.
23 June 2022