22 November 2023
Global Investment Firm BlackRock strategists predict persistent market volatility due to high interest rates worsening the U.S.’s significant debt burden, now close to $34 trillion. Interest payments, which have soared to $1 trillion annually, are set to exceed Medicare spending soon. The Federal Reserve’s aggressive rate hikes have not only aimed to curb inflation but also slowed economic growth, suggesting prolonged high rates and heightened market instability. This challenging financial environment is marked by fears of recession and the end of easy money, leading to increased unpredictability and economic strain.