425 Business: Weathering the Storm
From continuously rising gas prices to rising interest rates on credit cards, consumers globally are feeling the pinch of inflationary pressures with no clear release valve, creating a crisis not seen since the 1970s. How did we get to this point, and how can we avoid panic to weather the storm even as the Federal Reserve (the Fed) raises interest rates? Spoiler alert: discomfort is likely, but we may even find some new financial opportunities among the chaos.
How did we get here?
Inflation, which is most simply defined as prices catching up to money supply, has become a force to be reckoned with globally. We find ourselves now in the most difficult financial environment of the last century, caught in the crosshairs of two distinct inflationary pressures: the diluted inflationary effect of government stimulus during the pandemic, and the scarcity created by supply chain disruption.
Read the full article in 425 Business.
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