Kevin Mahn Doesn't See Point in Fed's Rate Hike: "Is 2% Really the Goal" for Inflation?

• The Fed's 25 bps rate hike is deemed a 'mistake' as it won't address energy-induced inflation or lower oil prices, with Mahn questioning if 2% is a realistic inflation target.
• Mahn expects more short-term volatility leading up to the mid-term elections, but a strong market close to the year once political and geopolitical uncertainties (like US-Iran relations) are resolved.
• Investment recommendations include defense stocks (Lockheed Martin, RTX, Moog), AI infrastructure (Taiwan Semiconductor, Micron, Digital Realty, Vertiv, Comfort Systems), and utilities (American Electric Power) for powering AI.

Kevin Mahn criticizes the Fed's recent 25 bps rate hike as ineffective against energy-driven inflation, questioning the 2% inflation target. He anticipates continued short-term market volatility but a strong year-end rally, advising investors to focus on growth opportunities in defense, AI infrastructure, and power/utilities.