Asset Allocation Bi-Weekly - The Problem of Financial Conditions (5/31/2022)

As we read various comments from Federal Reserve officials, it appears the Fed is making no bones about it: the drive to bring down inflation by raising interest rates will result in some financial pain. We can't help but wonder how much financial pain for consumers will the Fed tolerate? And if the pain becomes too bad, will the Fed be able to manage it? Confluence Chief Market Strategist Bill O'Grady discusses these questions and the challenge for investors.