It turns out ”Bond King” Bill Gross agrees. “So, what’s going to happen if we do have a slowdown next year? I just think this boom-bust thesis is so correct.” “Think about it this way: They’re doing 8% budget deficit spending when you have 3.5% unemployment-that’s really unprecedented,” he told Bloomberg. 1 in last year’s Institutional Investor survey after correctly predicting the selloff in stocks-said last week he stands by his boom-bust call. Morgan Stanley’s Mike Wilson has been warning shares are increasingly overpriced-saying in February that prices were now in the “ death zone…where they know they shouldn’t go and cannot live very long.”Īlthough admitting his outlook had been too bearish, the company’s chief U.S. Waiting for a downturnīurry isn’t the only one hinting the market might be headed for a correction.
At the time of writing the Nasdaq is up approximately 40% year to date-buoyed by gains for Nvidia, Meta, and Amazon-while the S&P 500 is up 17.4%. Both the Nasdaq 100 and the S&P 500 have enjoyed a good year so far.
