Is it time to fight the Fed? This veteran strategist says the central bank won't risk a 20% drop in house prices and a 30% slide in stocks.

  • 📰 MarketWatch
  • ⏱ Reading Time:
  • 35 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 17%
  • Publisher: 97%

Business News News

Business Business Latest News,Business Business Headlines

David Rosenberg, chief economist and strategist at Rosenberg Research and the former chief North American economist at Merrill Lynch, isn't buying the tough...

The bond bears have been in ascendance this week, even before the release of the latest minutes from the last Federal Open Market Committee meeting. The yield on the 10-year Treasury has jumped 23.7 basis points this week, the largest four-day yield gain since June 5, 2020, as the Fed minutes showed discussion of a fast winddown of its balance sheet alongside rising interest rates.

Dating back to 2012, the Fed’s forecasts on rates have been correct 37% of the time, accurate on core inflation 29% of the time, accurate on unemployment 24% of the time and accurate on real gross domestic product growth 17% of the time. And the Fed tends to be too bullish on growth, he adds. He recommends in the stock market shying away from cyclical sensitivity and toward defensive growth such as healthcare, staples and utilities; and in corporate credit, trading up in quality.

Absci ABSI, -12.78% shares rocketed after the biotech inked a drug discovery collaboration deal with chemicals company Merck MRK, -0.06%, with up to $610 million in fees and milestone payments.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Perhaps some forgot the Fed’s main job isn’t propping up Stock Market or Property prices for Wall St. Nytimes reported Wall St bought $60B worth of family homes. It’s time to close the tap before Wall St fucked up like 2008 again.

🥒🥒🍆🍑🍒 $Ears poor shawty Bend it over stick your tongue out 👅👄 Look back at it !!

The most recent bad forecast occurrence of which was the Fed's repeated statement that inflation was 'transitory' until it forced its hand. Fed = always behind the curve, an ex post facto operator.

GREAT.

maybe not 30 pct how about 20pct !

Rule Number One. Don't fight the Fed.

The Fed’s mandate isn’t pumping up Stock market & property prices for Wall St.

Has Powell gone nuts? Why is he wearing boxing?

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 3. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Bitcoin could outperform stocks in 2022 amid Fed tightening — Bloomberg analystThe Fed's hawkish tone has many crypto traders concerned about the health and sustainability of the bull market. bitcoin is on a crash course and stock market bubble is about to burst, both will decline so no point analyzing which asset class will lose the most Definitely prepared to take action!! xrdoge You all should follow Eden_sbe he knows his stuff when it come to Bitcoin , his tweets and tips have been really helpful in the space I just feel like this is a time to get bullish on BTC ,I believe 2022 could be very well the year where $BTC will show it’s true potential.
Source: Cointelegraph - 🏆 562. / 51 Read more »