by Josh Lipton
Yahoo! Finance, Canada
Markets have been undergoing a correction as major market indexes struggle and have seen consecutive daily losses as of late. BofA Securities Senior US Equity Strategist and Head of US Small/Mid-Cap Strategy Jill Carey Hall joins Market Domination to discuss the market outlook.
Hall acknowledges that a correction was looming: “It had been a while since markets had seen any significant pullback.” She notes that the ongoing earnings season would have investors scrutinizing company outlooks amid higher inflation, geopolitical risks, and uncertainty attributed to expectations around the Federal Reserve’s monetary policy.
Throughout 2024 so far, Hall highlights that markets have seen “inflation data that surprised to the upside,” which has led to Fed rate cut expectations being pushed out further into the year. She cautions that this could affect the performance of small-cap stocks, boosting refinancing risks in the sector.