When investors talk about peak inflation, they aren’t defining it as a peak in prices followed by an actual decline. Peak inflation would better be described as a peak in the rate of inflation followed by a slowdown in the rate of inflation.

Investors grappled with several conflicting events last week. Given the negative sentiment in today’s environment, the market latched on to the glass-half-empty scenario.

Investors grappled with several conflicting events last week. Given the negative sentiment in today’s environment, the market latched on to the glass-half-empty scenario.

Investors grappled with several conflicting events last week. Given the negative sentiment in today’s environment, the market latched on to the glass-half-empty scenario.

For now, the Fed has its work cut out as they attempt to slow an overheated economy and rein in inflation, without tipping the economy into a recession.

The rate increase was no surprise, and there wasn’t an immediate market reaction. Instead, it was comments that came in the press conference that moved the market.

Q1 didn’t reflect weakness in consumer or business spending. In fact, it was just the opposite. Government stimulus helped last year. The strong GDP numbers early in the recovery are unlikely to repeat.

First quarter earnings season is in full swing, and as we’ve seen in prior quarters, analysts have been too conservative with their initial estimates. Much of last week, however, investors fretted over how quickly the Fed might raise interest rates.