Leon Cooperman on CNBC
Omega Advisors CEO and billionaire investor Leon Cooperman was on CNBC and he said the Fed will cut 25 bps today and say its data dependent. He believes the data will be good and it will ultimately be one-and-done. At the same time, he said that the Fed shouldn't be cutting rates because it's rewarding bad trade policy.
He worries that people are getting pushed down the risk curve.
He said the conditions for a big market decline aren't present and include 1) a hostile Fed 2) problematic inflation 3) oncoming recession 4) no euphoria outside of IPOs
However he said any substantial rise in the S&P 500 -- like to 3200 -- would signal euphoria and that's where he believes it's going.
He said the ECB is "crazy" and that Europe should be using fiscal policy rather than monetary policy to stimulate. The European moves, he said, are underpinning assets elsewhere.
Cooperman his fund is 65% exposed to risk assets and 30-35% in cash. He said he suspects bond yields are going down but that he's not chasing sub-2% yields.
