
Why You Shouldn't Get Too Comfortable Holding Risk Assets
Real Vision: Finance & Investing
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Is This Liquidity Injection Short Term?
If liquidity is withdrawn, it's typically a positive for interest rates and credit spreads. And we are yet to see the worst part of that impulse on the economy from rising interest rates. We will be faced with headwinds into the autumn as a consequence of already delivered rate hikes through 2022. So it's not a time to call off the recession. It's just a time to postpone it as a result of this liquidity injection short term but ultimately we will sadly so be hit by this recession. I think towards the second half of the year in Q three and Q four.
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