As expected, the Federal Open Market Committee (FOMC) raised its policy interest rate by 0.75% to 3.00-3.25 percent at its meeting on September 21,

the third consecutive 0.75% rate hike, the Fed said. that the interest rate will be raised in the future

Until US inflation drops to 2% in the long run, the FOMC continues to reduce its holdings of US Treasury bonds.

Reduced holdings of mortgage-backed mortgage-backed bonds by $95 billion per month as planned.

with a commitment to bring inflation back to its target of 2%.

The Fed has a goal

It will raise interest rates as high as 4.4% early next year, which will have a wide global impact.

Until known as Perfect Storm, perfect storm with lightning, thunder, lightning, Saturday, leisurely, today I invite readers to discuss the direction of Perfect Storm, so that they can prepare themselves for the dangers in advance.

Fed Chairman Jerome Powell said after the meeting that the Fed would not consider a rate cut.

Until it is confident that the inflation figure has dropped to the target level of 2%, despite knowing that the mission will make the US economy

expanding below the expected trend.

The labor market may slow down.

The US economy is expected to grow only 0.2% this year from a forecast of 1.7%. Unemployment will hit 3.8% and rise to 4.4% next year, but the Fed needs to do so.

To manage inflation, to "rebuild our economic base." No one knows if this process will lead to a "recession," and no one knows.

"How severe the recession will be," but admits the chances of soft landing are less.

Mr Powell's statement reflects the uncertain future of the United States.

But all financial pundits presume that

The US will face a severe recession, hard landing, for sure, but how severe it will be, no one knows.

Because the Fed will keep raising interest rates until inflation falls to 2% over the long term from 8.3% today, the Fed will have to fight for a long time.

Importantly, everyone around the world must be prepared to deal with

The Great Recession From This Perfect Storm

Dr. Kobsak Pootrakool Senior Executive Vice President

Bangkok Bank

Chairman of the Federation of Thai Capital Market Organizations

said at the seminar

"Moving into the 41st year of the Banking Journal" in the topic "Scan Deep Value Stocks Avoid Perfect Storm" that we have found the first wave of Perfect Storm.

The affected person is the investor.

We are now entering the second wave.

The period when the economy may not grow or grow weaker than everyone thinks because of the recession in different places around the world at the same time.

The impact will be on manufacturers, employees, companies, shops, businesses, construction sectors in the real economy.

when the economy is sluggish

Stocks have to think hard.

The performance of companies must not be good.

Stocks will adjust again. I think that this year the stock will look like a wave. If you hold it still, it's like riding a roller coaster.

So didn't get anything back.

Have to get in the car

Whenever it's low

When it's up, sell some.

Dr. Kobsak said that when the second period has passed

We will find another wave, which is a challenge from Chinese products that will come out in various markets in the region.

Including competing with us, so entrepreneurs will be affected again.

Crisis will come around

The last crisis that is expected to face is the crisis in developing countries or the struggling Emerging Market. It is expected that there will be a lot of problems in the middle of 2023 as the Fed interest rate will be particularly high.

As a result, the Emerging Market country was weak.

Thailand will also be netted.

Even if it's the best looking country in the Emerging Market countries because every country will pull money back.

I kept them to share.

The Sun Tzu Dossier textbook states that “Knowing him knows us.

A hundred battles, a hundred victories.” But this time, “I know he knows me.

not defeat

but to survive"

"The wind changes direction"