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Strategies & Market Trends : US Inflation and What To Do About It

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To: RetiredNow who wrote (982)4/8/2019 3:33:18 AM
From: John Vosilla  Read Replies (2) of 1504
 
If that happens, then financials would be a good bet. Housing would get a new fire in the belly and we could avoid a severe downturn.

So you think they drop 1/2 percent if economy stays this strong and long term treasuries stay in the current range??

Not as likely my two cents... Also i doubt longer term both housing and financials can both benefit..

More likely high risk mortgage loans weak millenial buyers supporting higher prices late in cycle with flattened yield curve requiring financial institutions take greater and greater risks??

Or perhaps global economy is so weak drags US down as well forcing fed reversal taking us back to Obama yield curve his last year?

Doubt next downturn looks anything like 2008 repeat so many bearish types seem to expect. Even double dip during great depression caused only one year negative 3% GDP 1938.. Stagflation malaise, rising rates, too much debt overload and crowding out private sector for a generation. Not some quick fix debt cleansing and asset crash lasting a short time IMHO...
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