Investors are closely watching the consumer price index report this Wednesday for signs that inflation is slowing down. But Lance Roberts, chief investment strategist for RIA advisors, says recent core CPI data shows that inflation is still sticky.
The federal reserve has been hiking interest rates to fight inflation. While it says it’s going to hike rates to 5 percent and hold it at that level for a period of time, the market is betting that the fed will cut rates by July.
But Roberts says, if the Fed is cutting interest rates, they will only cut rates because there’s a problem, “So if the Fed is cutting rates, there’s nothing good that’s going on in the markets that you want to be invested in stocks.”…