Stock Market’s ‘Goldilocks Zone’ Is in Danger of an Abrupt End
- Universa’s Spitznagel expects stocks, gold, crypto to fall
- Sees market downturn, spike in volatility before the year end
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With equities hitting all-time highs and traders growing confident of an economic soft landing, the stock market appears to be in a “Goldilocks zone,” according to Mark Spitznagel, founder and chief investment officer of Universa Investments.
But investors should be wary of second-order effects, such as an economic slowdown that could send the market crashing down abruptly, even as the Federal Reserve cuts interest rates, he said in an interview with Bloomberg Television Thursday. Spitznagel is anticipating a “crush” in global markets until the end of this year, which can be driven by a slowdown in economies.