10
Jan
Financial market outlook and liquidity cycle in 2020
400 billion in cash injections in Q4. Expansion or status quo in 2020? High earnings expectations. Extreme equity valuations. More risks than opportunities.
Key points
- Massive and questionable cash injections in Q4
- 400 billion in new liquidity
- Why has the Fed intervened so massively?
- Dangerous interdependency between markets and monetary policy
- Financial markets gamble on the Fed put
- Can the Fed prevent the speculative bubble it has created from bursting?
- Are there any rational investors left in 2020?
- What is there to fear in the short term if markets depend on liquidity?
- High earnings expectations and extreme valuations
