JPMorgan’s Kolanovic is gaining a reputation as a permabull:
- The growth-policy tradeoff is likely to improve as we move through 2H, and could open the doors to a more balanced Fed.
Says he sees a turn in interest rates and inflation forwards, and that this should be a clear support for overall market levels
Also from JPM, separately but along the same lines:
- slowing economic growth and softening labour markets would allow the Fed to pursue a more balanced monetary policy
- which would result in a peak in the value of the U.S. dollar and inflation
SPX update:
