Black swan hedge fund says Fed rate cuts will signal market crash

  • 📰 KitcoNewsNOW
  • ⏱ Reading Time:
  • 32 sec. here
  • 31 min. at publisher
  • 📊 Quality Score:
  • News: 117%
  • Publisher: 78%

Kitco News Notícia

Gold,Silver,Platinum

The Kitco News Team brings you the latest news, videos, analysis and opinions regarding Precious Metals, Crypto, Mining, World Markets and Global Economy.

NEW YORK, April 22 - While U.S. financial markets debate the timing of interest rate cuts, one tail-risk hedge fund is warning that investors should make the most of recent economic optimism while it lasts, as a shift to lower rates will signal a dramatic market crash.

Spitznagel argues that such a shift would likely take place only when economic conditions deteriorate, creating a challenging environment for markets. Some of the funds, including Universa, were big winners during the extreme dislocations that rocked markets in the early days of the Covid-19 pandemic in 2020.

The Fed has raised interest rates by 525 basis points since early 2022 to head off a surge in inflation. Spitznagel believes, however, that excesses built up in the years of ultra-loose monetary policy that the U.S. saw since the 2008 global financial crisis have not yet been squeezed out of the economy.

 

Obrigado pelo seu comentário. Seu comentário será publicado após ser revisado.
Resumimos esta notícia para que você possa lê-la rapidamente. Se você se interessou pela notícia, pode ler o texto completo aqui. Consulte Mais informação:

 /  🏆 13. in BR

Brasil Últimas Notícias, Brasil Manchetes

Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.

Black swan hedge fund says Fed rate cuts will signal market crashWhile U.S. financial markets debate the timing of interest rate cuts, one tail-risk hedge fund is warning that investors should make the most of recent...
Fonte: YahooFinanceCA - 🏆 47. / 63 Consulte Mais informação »