Reported 7 months ago
Brent Schutte, Northwestern Mutual Wealth Management's chief investment officer, believes that despite the Producer Price Index showing cooling inflation, the US economy is still headed towards a recession. Schutte argues that investors may be overly optimistic, expecting inflation to decrease without causing an economic slowdown leading to a recession, and relying on the Fed to cut rates to prevent a recession. He points to the low-end consumer struggling with debts as a sign of economic weakness and suggests there are investment opportunities not currently being considered. Schutte highlights that the market is divided, with only select sectors performing well, and advises investors to consider diversification and areas offering value like fixed income and small to midcap stocks.
Source: YAHOO