Long Hot Summer Reading List, and Shakespeare’s Annotated Guide to Bitcoin

The last two Eye on the Market pieces covered our views on the sequence of events around recessions: markets decline, then earnings, then GDP and finally employment. Also, the worst mistakes of this cycle (YUCs – young unprofitable companies, SPACs, renewable energy with limited commercialization potential, Fintech dependent on regulatory arbitrage and/or catering to the lowest quality borrowers, Metaverse, crypto, etc) have all been repriced, which is positive in terms of where we go from here. I envision one last leg down later this summer, since the Fed has more work to do on the inflationary aftershocks of the most stimulative policy in 150 years. 

Read more here.

Interested in more J.P. Morgan Research? Click on the article titles below.

Eye on the Market - Dearly Beloved

Eye on the Market - Bear Market Barometers

Eye on the Market - Independence Day