Financial Times/Brooke Masters/8-13-2022
“Ultimately the Fed has got an extraordinarily difficult job. It [the economy] is a very large plane they are trying to land on a very short and very narrow runway. They could stick the landing. I just think it will be hard.” – Paul Britton, Capstone Investment Advisors
USAGOLD note: Another of several problem areas (see above) – the corporate bond market. We’ve mentioned it as a possible source of problems in the past. We pass along this warning because it comes from someone who monitors the bond market closely. Financial Times calls Capstone’s Paul Britton one of the world’s preeminent volatility specialists. “Any intervention they make to stabilise markets,” he says, “is going to be significantly smaller [than previous efforts] and the market is going to be severely disappointed.” One can imagine considerable congestion at the exits once that lack of support becomes evident.
