Knowledge@wharton

The economy seems to be sinking toward recession with new home sales at their lowest since the early 1990s. At the same time inflation is picking up. Some Americans are paying $4 for a gallon of gas and coming home from the supermarket with sticker shock. Today the Fed deemed recession the bigger worry and cut short-term interest rates by a quarter of a percentage point from 2.25% to 2%. Was this the right choice? How will it affect the financial markets? Should investors bet on a stock market rebound or hide on the sidelines? Knowledge at Wharton put these questions to Wharton finance professor Jeremy Siegel author of The Future for Investors. See acast.com/privacy for privacy and opt-out information.