Wall Street Senior Strategist: Inflation will not disappear, it is expected that the Federal Reserve will not significantly cut interest rates

Brian, the long-term strategist and head of Wind Shift Capital Advisors, said he expects the stock market to experience turbulence in the next 12 months. This is because the Federal Reserve will not lower interest rates to a very low level as the market thinks. From now on, borrowing costs may indeed rise. This could suppress loans, slow down investment, and cause a 7%-12% drop in US and global stock markets.

"I think that we are facing a crisis where when interest rates start to rise, governments cannot continue to boost the economy in an environment of rising interest rates because they have lost market support," Brian said.

Brian's prediction might be counterintuitive for investors who have been pricing in substantial rate cuts by the Fed. However, he stated that there is too much inflationary pressure on the U.S. economy in medium term so it can't guarantee that Fed would adopt aggressive easing policies.