State Street's Farley: US, Global Economy Reasonably Strong
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Dan Farley, State Street Global Advisors, Investment Solutions Group CIO, discusses the US and global economy, Fed moves, and bank earnings. He believes that in the near term, the US and global economy are reasonably strong and that earnings need to deliver to support valuations. However, he sees red flags and warns of potential vulnerabilities in the future. Farley also discusses the concentration of certain stocks, the Fed's restrictive stance, and the impact of economic strength on corporate profitability and consumer resilience. He mentions cracks in employment data and the mix between full-time and part-time employment. Farley is less overweight on US equities and overweight on cash, but still likes high-yield investments and gold. He believes that the carry on higher yields and the technical factors support these investments. Farley also mentions the impact of central bank buying on gold prices. Overall, he sees a reasonably strong economy in the near term but warns of potential challenges in the future.



https://www.bloomberg.com/news/videos/2024-04-23/farley-us-global-economy-reasonably-strong-video