A coronavirus vaccine isn't necessary for the historic rally, according to market forecaster James Bianco."The market is destined to continue to grind higher on the back of all this stimulus," the Bianco Research president told CNBC's "Yet, Bianco feels differently about the overall economy.
"You really need to separate the economy from the markets," he said. "It may be plateauing a little bit.Vaccine or not, Bianco also contends getting sentiment around the virus to change will be a major hurdle. China has reported a significant drop in cases, yet most people are"The mobility indexes that we watch have really flattened out meaning people are not continuing to go out as much as they did," added Bianco.
His hunch is many people will ultimately avoid a vaccine due to the uncertainty regarding safety. He believes the rush among biotech firms to get one quickly could do more harm than good. Even though Bianco believes the stimulus policies are more important to Wall Street than a vaccine, he acknowledges the long-term implications could be costly."I'll be blunt. I'm not the biggest fan in the world about a lot of these policies," said Bianco. "What ends this is inflation. If we get inflation, this game is over."