While uncertainty surrounds rising geopolitical tensions abroad, Dean Smith says that's not impacting U.S. markets much right now. Instead, Smith explains how investors' primary concerns are inflation and rising interest rates. Inflation is running in excess of the Fed's target, and there is no real prospect of that resolving anytime soon. Smith discusses how stresses in labor markets, energy prices and supply chains are not going to be relieved during 2022, and says they will likely persist into 2024 at least.
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