Posted 4/2/2024, 1:58:00 PM
Stocks Hit New Highs But Outlook Murky as Rate Cuts Stalled, Recession Risks Loom
- Stocks continue setting records despite delayed rate cuts, causing concern according to JPMorgan
- Rate cut expectations snapped back to 80bps, similar to last October's market downturn
- Analysts predict bond yields falling in 2H 2022, but inflation swaps rising, further delaying cuts
- Assumptions of 2H 2022 market growth don't mean 2025 earnings projections will also rise
- Complacency towards downside risks is alarming, with recession odds likely underestimated