All articles tagged with #market chaos
The article discusses how Donald Trump's unpredictable and radical policies, including tariffs and government interventions, threaten to fundamentally alter the US economic model, moving away from traditional norms and creating a landscape of radical uncertainty that could reshape the country's economic future.
The US housing market is experiencing chaos as more homebuyers back out of deals due to rising costs, higher mortgage rates, and increased inventory, leading to a record-high cancellation rate and a shift in market dynamics from a seller's to a buyer's market, with signs of potential stabilization if mortgage rates decrease.
Naming a shadow Fed chair before Powell's departure could cause market confusion, political conflicts within the FOMC, and undermine the Fed's independence, potentially leading to increased market volatility and higher borrowing costs.
With the US Treasury Secretary's "X date" for Congress to raise the federal debt ceiling just two weeks away, some on Wall Street are seeing an opportunity in cheap option contracts that would yield large returns if US stocks sold off like they did during the debt-ceiling drama in Congress in 2011. A team of equity derivative strategists at Bank of America has told clients that S&P 500 index put options expiring in the weeks ahead look "cheap" when considering the high risk for a selloff. Some on Wall Street fear that Congress might only be motivated to strike a deal if markets turn chaotic.