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Own stocks, thank the Fed and don’t expect the next U.S. recession to start anytime soon, says BCA Research The U.S. economy could keep chugging along for another two years without a recession, thanks to the Federal Reserve’s low rate policy, which makes it a good time to own stocks, according to BCA Research.The U.S. economy has defied expectations and expanded into a record 11th year following its worst setback since the Great Depression.But the economy still likely has at least another 18 to 24 months to run before the next downturn starts, which means stocks likely will hold up in the coming months and years, according to BCA’s Chief U.S. Investment Strategist Doug Peta.“Tight monetary policy is a necessary, albeit not sufficient, condition for a recession, and we consider the Fed’s current monetary policy settings to be easy, especially after this year’s three rate cuts,†wrote Peta in a Wednesday note to clients.“A recession can’t begin until the Fed reverses those three cuts and, per our estimate of the equilibrium rate, tacks on at least three additional hikes.â€........https://www.marketwatch.com/story/own-stocks-thank-the-fed-and-dont-expect-the-next-us-recession-to-start-anytime-soon-says-bca-research-2019-12-11?mod=home-page
Anybody still wanting to believe prognostications by MarketWatch as believable?
Ha! I had forgotten about this thread and my response to it. Granted, at the time I was focused on China and Trump's snit with them, but then -- dang! I was almost prophetic. (kidding)
I guess it can be said it didn't age well.