John De Goey's Top Picks: August 2, 2022
BNN Bloomberg
Top picks from John De Goey, senior investment advisor and portfolio manager, Wellington-Altus Private Wealth
FOCUS: Personal finance and ETFs
MARKET OUTLOOK:
The ongoing discussion about whether or not central banks will pivot is a bit of a red herring. We’ve already met the technical definition of a recession and inflation remains a major challenge that needs to be met head-on. Even a modest reduction in inflation would not be enough to warrant a meaningful deceleration of hawkishness. My view is that central banks need to hike by at least 50 basis points at the next meeting no matter what is happening with employment numbers or on capital markets. We’re in a world where cognitive dissonance is driving narratives. We’re also in a recession, but many pundits won’t admit it. The only way to curb inflation now is to endure a recession.
