‘
‘The Nasdaq rose by more than 200% from late 1998 to early 2000. Now we are almost 100% higher, and we could very well be on the same track. Everything I look at indicates a fusion. ‘
”
It is Edward Yardeni, president of Yardeni Research, who takes a cautious view in a recent CNBC interview of where the stock market is headed from here. The relentless contraction in cryptocurrency, he explained, is just one of the signals pointing to potential weakness.
“It’s just part of the bull market in everything,” Yardeni explained. ‘It’s very important whether you have bitcoin BTCUSD or not,
to just stare at the chart and realize when it’s going straight – it’s definitely a sign of exuberance, of speculative excess. ”
As for the timeline when it could get worse, Yardeni, a longtime strategist on Wall Street, said the broader market march should take off for a while.
“The blue wave is likely to remain strong in the first half of this year,” he said. ‘We’re going to get more government spending. We are going to have the Federal Reserve a lot of government spending through quantitative easing. I think interest rates will stay pretty low. ”
But that could change as the U.S. economy begins to recover from the pandemic. “In the second half of the year,” Yardeni said, “we may be on the lookout for consumer price inflation that will not be good for assets that are too high.”
Watch the interview:
No signs of a merger on Sunday night with futures on the Dow Jones Industrial Average YM00,
S&P 500 ES00,
and technical goods Nasdaq Composite NQ00,
everything points to a sluggish start to the week.