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It’s Been a Wild Ride for the Stock Market. What’s Next?
This story is part of Recession Help DeskCNET’s coverage of how to make smart money moves in an uncertain economy.
It’s been a dizzying year for the stock market, between global uncertainty, high inflation and rate hikes. We’re officially in a bear market (again), with another Federal Reserve meeting and interest rate hike expected next month.
You’re probably wondering, “What’s next?”
With inflation still uncomfortably high and more rate hikes on the horizon, the market is likely in for a bumpy ride.
“Investors should brace themselves for more market volatility,” said Mahesh Odhrani, certified financial planner and president of financial planning firm Strategic Wealth Design.
The market’s short-term fate is contingent on multiple factors, so any predictions about what comes next are simply educated guesses. The Fed has raised interest rates five times this year in an effort to curb inflation. Now, a recession seems more likely than a “soft landing,” according to Federal Reserve Chair Jerome Powell. And though it’s impossible to say how deep that recession might be or how long it will last, such a downturn will definitely inflict more pain across the board, including an uptick in unemployment.
While experts indicate a light at the end of the tunnel, the market usually gets worse before it rebounds. Here’s what five experts said is likely to happen as 2022 comes to a draw and we brace for 2023.
Where experts predict the stock market is headed
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CNET
Market uncertainty will persist.
“Investors and