‘My universe is money and stocks. we consider holds are a bubble, not stocks.’
Billionaire hedge-fund manager Leon Cooperman offering that comment Wednesday in an talk with CNBC, in that he also argued that holds are “fundamentally cheap” following a U.S.-led tellurian equity subjection final week.
Many investors final week argued that a fast arise in a 10-year Treasury note produce
TMUBMUSD10Y, +0.21%
to a more-than-seven-year high above 3.26% helped hint a pointy decrease that saw a Dow Jones Industrial Average
DJIA, -0.36%
lose some-more than 1,400 points in dual days and led a blue-chip sign and a SP 500
SPX, -0.03%
to their biggest one-day falls given February.
Read: Here’s because stock-market investors unexpected freaked out over rising bond yields
On Tuesday, holds bounced sharply, with vital indexes posting their biggest one-day gains given Mar though finished prosaic to somewhat reduce Wednesday. The SP 500 stays down 3.6% so distant in October, slicing a year-to-date allege to around 5.1%, while a Dow is off 2.8% this month, withdrawal it with a 4% year-to-date gain.
While marketplace bears argued that a arise in yields and stock-market greeting belied financier fears that a expansion slack is around a corner, Cooperman, a owner of Omega Advisors, argued that a economy, “if anything, is too strong” and that a conditions “that routinely lead to a large decrease only aren’t present.”
William Watts is MarketWatch’s emissary markets editor, formed in New York. Follow him on Twitter @wlwatts.
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