Stocks are unlikely to retest bear market lows and theres too much pessimism about the US economy, market veteran Ed Yardeni says
Theres too much pessimism about the US economy, says Ed Yardeni at Yardeni Research. He told CNBC that investors may have missed out if they ditched stocks after Jamie Dimon sounded alarms about an economic “hurricane”. The S&P 500 has risen about 19% since hitting a bear-market low in October. Investors may miss out on potential stock market gains if they grow too wary about the US economy, which is likely to avoid an outright recession, said Wall Street veteran Ed Yardeni as the S&P 500 inched closer to entering a bull market. “I‘ve been among the bulls, especially in late October … I thought there was way too much pessimism…in some of these surveys of confidence about the market, about as much pessimism as we saw back in March of 2009. And certainly, surely things aren’t anywhere near as bad as that,” the Yardeni Research chief investment strategist said in a CNBC interview late Monday. “We‘ve been in a recession since last year, but it’s a rolling recession and it keeps rolling in different industries and all in all, it isnt adding up to an economy-wide recession,” he said. A better-than-expected performance by the economy should help prevent stocks from revisiting bear-market lows. Yardeni said