Is The Stock Market Going to Crash Again?
With the recent inflation news driving another massive stock sell-off, investors are once again getting nervous about the future. After all, high inflation means that the Federal Reserve is expected to continue to be forced into raising interest rates , which makes bonds a relatively more attractive investment. Higher interest rates also make it more expensive to borrow, which makes it tougher for businesses to invest in expansion, thus putting demand and growth at risk.
Within that context, it's pretty easy to make a case for why the stock market could crash again. On top of that, history shows that the market does crash from time to time. As a result, the answer to the question of whether the stock market will crash again is a simple one: Yes, it almost certainly will. The real question to ask, though, is when will it crash?
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Source Fool.com
