Wrong Way Greenspan
If you weren't worrying about recession before, former Fed Chair "Wrong Way" maestro Alan Greenspan just provided one: Greenspan Sees No Recession as Post-Crisis Deleveraging Endures.
“The economy has been weakening, but we’re still in a period of deleveraging,” Greenspan said in a recent interview. His office reaffirmed his outlook on Wednesday. “No recession in the last half century, at least, began from a period of deleveraging.”
Spectacular Contrarian History
Greenspan has a spectacular history of being wrong.
Interest Rate Flashback July 31, 2017
Alan Greenspan told Bloomberg TV : "By any measure, real long-term interest rates are much too low and therefore unsustainable. When they move higher they are likely to move reasonably fast. We are experiencing a bubble, not in stock prices but in bond prices. This is not discounted in the marketplace.”
Bond Bubble Flashback August 4, 2017
In a CNBC interview, the longtime central bank chief said the prolonged period of low interest rates is about to end and, with it, a bull market in fixed income that has lasted more than three decades.
“The current level of interest rates is abnormally low and there’s only one direction in which they can go, and when they start they will be rather rapid,” Greenspan said on “Squawk Box.”
Alan Greenspan on "Irrational Exuberance"
On December 5, 1996 the Maestro warned of "Irrational Exuberance...