For the US stock market, good news is bad news. The Fed is waiting for the recovery to strengthen to exit the zero lower bound. When it does, we’ll see a market correction and an end to the current financial boom driven by yield-seeking investor behaviour. The magnitude of the correction will depend on the balance between the extent of the bubble in asset prices on the one hand, and the continuing positive impact of the
Careful What You Wish For
Careful What You Wish For
Careful What You Wish For
For the US stock market, good news is bad news. The Fed is waiting for the recovery to strengthen to exit the zero lower bound. When it does, we’ll see a market correction and an end to the current financial boom driven by yield-seeking investor behaviour. The magnitude of the correction will depend on the balance between the extent of the bubble in asset prices on the one hand, and the continuing positive impact of the