What recession? Why stocks are surging despite warnings of doom and gloom
Halfway through the year, hopes about AI and a sturdier-than-expected economy are leading to a big rally in stock markets — but a lot of uncertainty still lies ahead.
It has been a hell of a year so far. Three regional banks collapsed, the United States came close to defaulting on its debt for the first time in its history, and the Federal Reserve continued to hike interest rates aggressively.
But despite all that, the stock market surged in the first half of the year. What gives?
A lot has to do with the economy.
Despite widespread expectations that the U.S. could be headed for a recession this year, the economy has proved a lot sturdier than many on Wall Street had forecast.
There are other reasons too. Artificial intelligence has helped
