Lasting rise in equity markets no sooner than the first half of 2023 – Natixis

FXStreet Insights Team FXStreet

How long until US share prices can be expected to recover? As long as no end to the rise in interest rates is in sight, there can be no lasting equity market recovery, in the view of analysts at Natixis.

No lasting recovery in the share prices under threat of an uncertain rise in interest rates

“In the past, it was not until the Fed Funds rate had fallen for a year that share prices recovered in the United States.”

Given the impatience of equity investors and the good results of US companies, we can imagine that this time we will only have to wait until the confirmed stabilisation of the Fed Funds rate. Given the outlook for interest rates, this points to a lasting rise in share prices no sooner than the first half of 2023.”

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FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

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