For banks and fintechs, especially those in the payments industry, the decline is probably due to a hangover effect from the Federal Reserve's 75-basis-point interest-rate increase on Wednesday. Rates have now increased 75 basis points each of the past three times the Fed has convened. Rising interest rates are the tool the Fed is using to slow down the economy and combat high inflation. Read More...
Motley Fool
Why Pagaya Technologies Plummeted by 74% This Week
Pagaya Technologies (NASDAQ: PGY), one of the more intriguing and unusual operators in the fintech space, lost its appeal to many investors this week. This was due largely to the toxic combination of a Federal Reserve interest rate hike and a big new secondary share issue. Pagaya, which specializes in lending technology powered by artificial intelligence (AI), was understandably a victim of the Fed’s latest interest rate boost on Wednesday.
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