The worldwide financial system might not be able to face the worst-case situation of the U.S. rate of interest rising as excessive as 7% with stagflation, in accordance with the CEO of funding banking big JPMorgan (JPM), Jamie Dimon, Bloomberg reported on Tuesday. Since March 2022, the Federal Reserve has raised the benchmark borrowing price by 525 foundation factors to the 5.25%-5.5% vary to tame inflation. The so-called tightening cycle was partially chargeable for final yr’s crypto market crash. In accordance with Dimon, the Fed might should hold elevating charges to subdue persistent inflation and impending will increase will possible be extra damaging to the worldwide financial system.
