After raising the interest rates by 75 basis points last month, Fed Governor Christopher Waller expects another 75 basis points hike or more considerable rate hike this month. Meanwhile, the treasury yields curve remains inverted, with investors keeping an eye on the Fed’s likely policy move in the next week.
Inflation has been soaring at rates not seen in four decades, which has weighed on consumer sentiment. According to a survey by the University of Michigan, consumer sentiment fell to its lowest level ever in June. Also, the threat of more aggressive monetary policy tightening to rein in inflation has led to concerns of a potential economic slump.
