The Wall Street JournalThe Wall Street Journal

The Power of Positive Thinking Returns to Markets

By James Mackintosh

31 Jul 2022 · 3 min read

You should read this article to understand just how important the power of sentiment is when it comes to influencing our global financial structures.

Curated by informed

The ability of sentiment to influence the direction of markets was on full display this past week. Investors emerged from deep gloom and managed to find price-supporting rays of light even in clouded news.

The most important was in the interpretation of comments by Federal Reserve Chairman Jerome Powell on Wednesday after the Fed lifted interest rates by 0.75 percentage point. Mr. Powell—finally—stopped offering guidance on what the Fed would do next, gave no reassurance that recession could be avoided and when asked about cuts next year pointed to last month’s forecast that rates would rise further in 2023.

The news, curated.

Subscribe in our mobile app to continue reading this The Wall Street Journal article

Already subscribed? Sign in

Get world-class journalism from premium publishers, curated by editors and experts. All in one app.

Subscribe now and get 14 days free.