'More Dangerous to be Short Than Long': Strategist
Russ Koesterich, head of investment strategy at Barclays Global Investors, and Jason Trennert, chief investment strategist at Strategas Research Partners, shared their economic outlooks.
“It’s more dangerous to be short than long, mainly because there is such enormous government influence in the markets,” Trennert told CNBC.
“It’s very likely you’re going to see a false sense of prosperity between now until the end of the year.”
In the meantime, Koesterich said despite the inventory correction, which will help in the long term, the biggest headwind facing the economy is consumer deleveraging.
“[Consumers will] probably delever for several years and that’s going to drag growth probably through 2011 to 2012,” he said.
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