Tag Archives: strategist

(Bloomberg) — Equity investors’ anxiety about a potential recession isn’t showing up in other parts of the market, which is giving JPMorgan Chase & Co. strategist Marko Kolanovic confidence in his pro-risk stance. Most Read from Bloomberg US and European stock markets are pricing in a 70% chance that the economy will slide into recession in the near-term, according to estimates by JPMorgan’s top-ranked strategist. That compares with a 50% chance priced into the investment-grade debt… Source link

U.S. stocks have had a rough start to the year after a standout 2021—and if history is any guide for what’s to come, things could get even worse from here. The S&P 500, which returned nearly 27% to investors last year, has been dragged down more than 15% year to date by rising interest rates, geopolitical tensions, persistent inflation, and a number of other bearish factors. The big question on most investors’ minds: How much further will stocks drop? Bank of America’s chief investment… Source link

Add another prominent voice in the field of economics warning about a looming recession. “I would say that it’s probably closer to a coin toss that the economy will be moving into recession by the end of the year,” said Dreyfus and Mellon Chief economist and macro strategist Vince Reinhart on Yahoo Finance Live. Reinhart’s comments come amid multiple negative forces playing out in the economy. The Consumer Price Index (CPI) rose by 7.9% in February, marking the fastest pace of annual inflation… Source link

Indexes extended their losses on Thursday as markets digested the latest Fed minutes, where Federal Reserve officials “generally agreed” to cut up to $95 billion a month from the central bank’s balance sheet to combat surging prices. In light of the Fed’s hawkish stance on inflation, CenterSquare Investment Management Chief Strategist Scott Crowe sees a sizable decline in economic growth levels ahead. “I think there is little doubt that we are at the beginnings of a significant… Source link

While some experts are beginning to sound the alarm over the threat of stagflation for the remainder of 2022, a combination of surging inflation and slowing growth poses an ever-growing risk to markets. 22V Research founder Dennis DeBusschere believes that investors should indeed expect stock market returns to be muted in the medium term. “So we’ll start with the upside. It seems pretty clear to us that the Fed needs to ratchet down demand growth,” DeBusschere told Yahoo Finance Live…. Source link

Tick off a loss for the modern monetary theorists amid rising inflation, says InfraCap Founder and CEO Jay Hatfield. Modern Monetary Theory (MMT) is a macroeconomic lens which prescribes that monetarily sovereign countries like the U.S. are unaffected by financial constraints as long as they control their currencies. With roots dating back to the early 20th century, MMT was first popularized in its modern form by Warren Mosler, an American investment fund manager. Under MMT, the risk of… Source link

Although the S&P 500 (^GSPC) has yet to return to the peaks it reached around the turn of the new year, the stock market has recently gained traction to bounce back from mid-March lows. LPL Financial (LPLA) Chief Market Strategist Ryan Detrick provided some context surrounding the current state of the market with regard to bull markets seen in prior decades. “We looked at 11 bull markets since World War II. Once they got to the third year, three of those 11 actually died. In other words, a… Source link

The Federal Reserve announced that it would raise its benchmark Federal Funds Rate target range to between 0.25% and 0.50% last Wednesday in a long-awaited move seeking to combat decades-high inflation. The move is long overdue, Marketgauge.com Partner and Director of Trading Research & Education Michele Schneider told Yahoo Finance Live in a recent segment. “I think it should have happened already, quite honestly,” she said. “I think they should have been less concerned [with market… Source link

Returns from stocks and bonds are likely to suffer in the long-term, CEO and CIO of Research Affiliates Chris Brightman told Yahoo Finance Live. “[Investors should expect] not just lower long-term returns from the bond market but lower long-term returns from the stock market as well,” Brightman told Yahoo Finance Live. “Remember, the stock market’s trading at near all-time highs in terms of prices relative to, say, cyclically adjusted earnings or extraordinarily low dividend yields. And… Source link

Stocks experienced a brutal correction in January before bouncing to end the month down roughly 5%. That may be just the start of the pain for passive “buy-and-hold” investors, according to Barry Bannister, the chief equity strategist at Stifel, a St. Louis–based investment bank. In fact, the strategist is predicting an entire decade of suffering ahead for markets as the Fed raises interest rates, with 0% returns for investors. “Buy and hold is the ideal strategy in the bull phases…but… Source link