Prominent Economist Identifies Two Major Concerns That Disturb His Sleep

Written by Emily J. Thompson, Senior Investment Analyst

Source: Yahoo Finance

Updated: 4h ago

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Source: Yahoo Finance

Concerns about Inflation: Economist Steve Hanke warns that inflation may spiral out of the Fed's control by 2026, citing a significant increase in the money supply and recent Fed rate cuts as potential contributors to rising prices.
Stock Market Bubble: Hanke believes there is a bubble in AI stocks, indicating that current high valuations in the tech sector could lead to a market crash, similar to the dot-com bubble.
Fed's Monetary Policy: The end of quantitative tightening and easing of lending rules could further increase the money supply, exacerbating inflationary pressures in the economy.
Investment Advice: Hanke advises investors to rebalance their portfolios in light of the potential risks associated with high stock prices and the uncertain inflation outlook.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.

Prominent Economist Identifies Two Major Concerns That Disturb His Sleep

About the author

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