Fed Rate Hike Now Almost Certain as Inflation Rises

Hyundai Motor Securities believes that the Federal Reserve's (Fed) September rate hike is now almost certain due to rising inflationary pressure in the U.S.

According to a report by News 1, Kim Jae-seung, a researcher at Hyundai Motor Securities, said that the core consumer price index (CPI) is under increasing pressure from the previous month following the U.S. producer price index (PPI) in August.

This has created an environment where Fed Chairman Kevin Wash has no choice but to raise interest rates.

However, if the rate of increase is moderate in the future, the impact on the stock market will be limited, and Hyundai Motor Securities advises using the adjustment before and after the Federal Open Market Committee (FOMC) as a buying opportunity for a year-end rally.