MarketsInsider/Harry Robertson/3-24-2022
“The US economy is on the cusp of stagflation and markets are yet to fully respond, according to the co-chief investment officer of Bridgewater Associates, the world’s biggest hedge fund. Bob Prince told Bloomberg TV on Tuesday investors are being too optimistic about the path for inflation and rates.”
USAGOLD note: Prince implies plenty of downside to come for financial markets. We recall that investors were slow to react to stagflation in the 1970s as well believing that the Fed would bring it under control. It took a decade for the Fed to introduce the measures required to get the job done and the 1970s turned out to be a lost decade for the stock market.
