The upshot for investors has been pretty clear: “goldilocks” is back, along with expectations that the Federal Reserve will achieve its aim of guiding the U.S. economy toward a soft landing as monetary policy helps to bring inflation down.
This is an ideal scenario for stocks, bonds, commodities, cryptocurrencies and everything else that has rallied hard this year, market analysts told MarketWatch.
“A Goldilocks scenario where growth remains healthy and inflation is cooling has historically been a favorable backdrop for risk assets,” said Andrew Krei, co-chief investment officer at Crescent Grove Advisors, a boutique wealth-management firm, during an interview with MarketWatch.
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