Shares of technology companies rose as traders continued to bet that inflation and interest rates have peaked.
Hopes that the inflation era will end without some kind of economic slowdown are likely unfounded, however, said one strategist. “It’s not going to happen because the jobs market is too strong and wage pressures are still there,” said Oliver Pursche, senior vice president at financial advisory Wealthspire. “You’re not going to have a 2% inflation rate with elevated energy prices, full employment and wage growth above 3%.”
President Biden and Chinese leader Xi Jinping went into a high-stakes summit Wednesday with a long list of contentious issues between the world’s two leading powers. Both nations expect progress on commitments to containing fentanyl trafficking and military cooperation, but technology tensions are set to persist.
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