Strategists Debate Rally's Meaning For Market
The Dow rallied into triple digits, and stocks closed Friday at another record high. But some analysts still predict an economic slowdown. On "Closing Bell," David Spika, VP & Investment Strategist at Westwood Holdings Group, took on David Tice, president of The Prudent Bear Fund, to call the market: bull or bear.
Tice told CNBC's Melissa Francis that the market highs are due, in part, to a credit bubble in corporate finance which "has to be corrected." He warned that "massive" credit growth led to asset inflation -- and "it will end very badly."
But Spika disagreed, pointing to double-digit global liquidity growth and other indicators like copper rising above $3 per pound as proof of a thriving economy. "I don't see credit being a problem near-term," he said.