Reported 4 months ago
Piper Sandler's Chief Investment Strategist, Michael Kantrowitz, discusses the US Job Opening and Labor Turnover Survey showing a decline in job openings in April, signaling a cooling labor market. Kantrowitz sees the slowdown as positive for equities, easing inflation concerns and suggesting a distance from a sharp decline in stocks. He foresees two rate cuts by year-end and believes economic factors like low oil prices and a flexible labor market will help offset higher interest rates. Kantrowitz also mentions a negative correlation between rates and stocks continuing until inflation concerns diminish, expecting a generational shift in investor psychology with renewed inverse yield-stock correlation.
Source: YAHOO