"You can only steer the ship towards the storm for so long" -- Charlie Ripley
From CNBC's "Dow closes 500 points lower after the Fed delivers another aggressive rate hike" posted Wednesday:
Stocks fell in volatile trading Wednesday after the Federal Reserve raised rates by three-quarters of a point and forecast more sizable rate hikes in its fight against inflation, actions widely expected by traders.
The Fed raised rates by 0.75 percentage point, or 75 basis points, as was widely expected, and said it expects its so-called terminal rate to reach 4.6% to fight persistently high U.S. inflation. That’s the rate at which the central bank will end its tightening regime. The central bank also indicated that it plans to stay aggressive, hiking rates to 4.4% by next year.
“You can only steer the ship towards the storm for so long, but eventually there comes a time when you need to batten down the hatches and with the Fed’s third consecutive 75 basis point rate hike over the past four months, market participants should be looking for cover to weather the upcoming storm,” said Charlie Ripley, senior investment strategist at Allianz Investment Management.
My take: The S&P 500 ended the day down 1.27%, Apple was down 2.03%.