News Formal

Today's market is a 'bubble dream' with rate cuts, China inflating economy, Bank of America says

  • 📰 CNBC
  • ⏱ Reading Time:
  • 19 sec. here
  • 4 min. at publisher
  • 📊 Quality Score:
  • News: 18%
  • Publisher: 72%

Investment Strategy Nyheter

Stock Markets,Business News

Massive stimulus from central banks is driving bubble-like returns and could head off a global recession, BofA's Hartnett says.

Massive stimulus from central banks in the U.S., China and elsewhere is driving bubble-like stock returns and could head off a global recession, according to Bank of America. "It's the bubble dream," BofA chief investment strategist Michael Hartnett wrote in his weekly "Flow Show" breakdown of where investors are putting their money. "Fed slashing, oil crashing, China inflating ... and if this China stimulus don't work then geopolitical risks going to soar.

With concerns rising over a moribund real estate market and consumer confidence on the wane, the People's Bank of China emulated the Fed move with its own 50 basis point cut to its reserve requirement ratio for banks and is injecting cash into the financial system by selling sovereign bonds. The PBOC also will implement measures to support the stock market.

Vi har sammanfattat den här nyheten så att du kan läsa den snabbt. Om du är intresserad av nyheterna kan du läsa hela texten här. Läs mer:

 /  🏆 12. in SE
 

Tack för din kommentar. Din kommentar kommer att publiceras efter att ha granskats.

Sverige Senaste nytt, Sverige Rubriker

Similar News:Du kan också läsa nyheter som liknar den här som vi har samlat in från andra nyhetskällor.

Starbucks should spin off its China business, Bank of America saysStarbucks should spin off its China business, Bank of America says
Källa: Investingcom - 🏆 450. / 53 Läs mer »

Stocks defy gravity despite volatile markets, says Bank of AmericaStocks defy gravity despite volatile markets, says Bank of America
Källa: Investingcom - 🏆 450. / 53 Läs mer »