While the U.S. economy will likely struggle at the outset of 2023 due to higher interest rates, slowing inflation by the second half of the year could help support economic recovery and a more favorable investment environment.
Listen to Eric Freedman, chief investment officer for U.S. Bank Asset Management, and Kevin McMillan, head of government affairs at U.S. Bank, discuss current market dynamics, monetary policy and the post-election legislative priorities most likely to have an impact on investors this year.
Balancing opportunities and risks in today’s market
The U.S. Bank investment team remains focused on two primary factors that will help determine the direction of capital markets through the remainder of 2022 and into 2023 – the degree to which the U.S. economy slows and inflationary trends.
Is the economy at risk of a recession?
The Federal Reserve is focused on fighting inflation with aggressive policy moves intended to slow consumer demand. Does this put the economy at risk of a recession in 2023?