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Wed, June 18, 2025

Stocks are flat, as the Fed's latest forecast flirts with stagflation

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The Federal Reserve's quarterly projection included lower growth, higher inflation, and maintained its previous expectation of two interest rate cuts.
The article from Fortune, published on June 18, 2025, discusses the current state of the stock market and the Federal Reserve's latest economic forecasts, which hint at the possibility of stagflation. The Fed's projections suggest a slowdown in economic growth alongside persistent inflation, causing concern among investors. Major stock indices experienced volatility as market participants reacted to the news, with some sectors like technology and consumer goods showing resilience while others, such as energy and manufacturing, faced declines. Analysts are divided on the outlook, with some anticipating a mild recession while others believe the economy might achieve a soft landing. The article also highlights the Fed's commitment to maintaining interest rates at current levels to combat inflation, despite the potential for slower growth.

Read the Full Fortune Article at:
[ https://fortune.com/2025/06/18/stocks-today-fed-latest-forecast-flirts-with-stagflation/ ]