The Fed could raise interest rates three times. Here’s where the market could face the stiffest test.

AI SUMMARY

# Market Impact Summary If the Federal Reserve follows historical precedent and raises interest rates three times as economists project, equity valuations—particularly in rate-sensitive sectors like technology and growth stocks—could face significant pressure as borrowing costs increase and discount rates used in valuation models rise. The market's stiffest test would likely occur around the third rate hike, as cumulative impacts on corporate earnings, consumer spending, and refinancing costs compound, potentially triggering a correction in indices like the S&P 500 and Nasdaq-100 that have benefited from the extended