Fidelity’s Director of Global Macro, Jurrien Timmer, joins us for another global macro and market analysis podcast. Jurrien believes that the combination of monetary and fiscal stimulus puts a floor under the market. 10% of companies have reported earnings and Jurrien believes that an earnings bottom is in place for the second quarter. The market is up 44% compared to lows in March, tracking well against 2009 and most historical bull markets, making this the fastest bear market and fastest bull market recovery. Jurrien believes that the global earnings cycle has shown signs of bottoming with second-quarter being the worst quarter but is still projecting the third-quarter to be negative on a growth rate basis. He notes that he would like to see the dollar go down as evidence that the world is getting enough dollar liquidity. Follow Jurrien on LinkedIn or @TimmerFidelity on Twitter for his detailed research reports and charts.
Recorded on July 20, 2020.