Friday, February 27, 2015

The US recovery story is a fraud: SocGen bear

Societe Generale's notoriously bearish strategist, Albert Edwards, has poured scorn on the belief that the U.S. economy is recovering and predicts "violent" reactions in asset markets during the second half of 2015.

"The downturn in U.S. profits is accelerating and it is not just an energy or U.S. dollar phenomenon – a broad swathe of U.S. economic data has disappointed in February," he said in a research note published Thursday.

U.S. indexes have continued to hit all-time highs this year and the Nasdaq is also looking to break through a level last seen at the peak of the tech bubble in 2000.
However, Edwards said that, rather than concentrating on these corporate earnings or dismal economic data points, market participants were too focused on the "pillow talk" about decent payroll data from the U.S. Federal Reserve.

http://www.cnbc.com/id/102458578?__source=yahoo|finance|headline|headline|story&par=yahoo&doc=102458578#. 

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