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The Fed looks like it’s going to hike – implications for investors & Australia

Key Points:

  • The Fed is likely to start raising interest rates to combat sticky inflation and affirm its credibility.
  • First Fed rate hikes in a tightening cycle don’t normally signal the end of the bull market in shares but are consistent with volatility and the risk of a correction.
  • A Fed hike is unlikely to impact the RBA which started hiking before the Fed & was already likely to hike again this mth.

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