Cramer: History Suggests Investors Shouldn't Assume Stocks Will Struggle Through Fed Rate Hikes
CNBC's Jim Cramer says past rate-hiking cycles show markets don't necessarily suffer for the entire duration.
CNBC host Jim Cramer said investors should not assume that stocks are destined to struggle for the entirety of a Federal Reserve interest rate-hiking cycle, according to a report published by CNBC.
Cramer argued that history offers a "playbook" for how markets have behaved during past periods when the Fed raised borrowing costs, suggesting that such cycles have not always translated into prolonged stretches of poor stock performance, CNBC reported.
The comments come as investors continue to weigh the trajectory of Fed policy and its potential effects on equity markets. Cramer's remarks, as reported by CNBC, encourage market participants to look to historical precedent rather than assume uniformly negative outcomes for stocks during rate-hiking periods.
CNBC did not detail in the excerpt which specific historical cycles Cramer referenced or provide additional specifics on his broader market outlook.
Sources
EGazette summarizes reporting from multiple sources; follow the links for the originals.
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