If you feel like you have been through 12 rounds with Mike Tyson, we completely understand. That’s because Federal Reserve Chairman Jay Powell just threw another roundhouse at all of us!
Specifically, he raised interest rates by 75 basis points for the third time in a row in September. Powell also said the Fed would keep shrinking its enormous portfolio of bonds. Plus, he strongly suggested the Fed would hike rates even further later this year and next.
We haven’t seen a rising rate cycle this aggressive in decades—nor have we seen inflation this high in decades. That creates all kinds of new challenges for investors like us. But it also opens up a world of opportunities for people who position their portfolios properly.
Prepare for more economic pain…