Tech Sell-Off: 2 Stocks Down Over 85% to Buy On the Dip
Over the last two years, the U.S. economy has been flooded with stimulus dollars from the government, combined with record-low interest rates from the Federal Reserve. The measures were necessary to prevent the pandemic from causing an economic catastrophe.
But as the vaccination rollout picked up steam, society began to reopen, and economic activity gradually returned to normal. Suddenly, businesses are dealing with shortages of goods and services as cash-loaded consumers have rushed out to spend money, while supply chains have been slow to catch up with the demand.
Now, the Federal Reserve faces the onerous task of taming inflation, which is at the highest level in 40 years. It has aggressively raised interest rates already, including a 75 basis point hike in June. The policy shift has taken the air out of high-flying technology stocks as investors re-price their growth expectations.
Source Fool.com
