Thursday, January 13, 2022

What investors think of the Feds and Omicron?


Photo by Anna Nekrashevich

Investors think that Omicron and Fed pose a huge risk for the economy that is already moving at a slow pace. The "Santa Claus Rally" effect may seem as a fruitful opportunity to the investors at first, but, Omicron still poses a threat to the market. It has resulted in causing a feeling of uncertainty among the investors.

Apart from Omicron, the other concern for the investors is what the Federal Reserve may come up with in 2022. It is expected that the Fed will go on a rate high campaign in 2022. New coronavirus infections are found in various parts of the world and it may cause the economy to become weak. Still, investors are hopeful that despite a growth in rates, investing opportunities still exist. The current scenario is described as an investment environment that is growing at a slow but steady pace.

This is a period when economies are expanding. In history, these have been instances where investors saw huge profits despite a hike in the rates. The point that the Federal Reserve is hiking the rates means that the economy is expanding. So, this is self-explanatory that the markets will see a boost and the investors may see great profits.

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