Seeing little upside in the stock market, Cantor Fitzgerald CEO Howard Lutnicksaid Tuesday on CNBC that low interest rates were making commercial real estate a strong bet.
“I think the stock market is in a tough spot, right? There’s no growth. The Fed couldn't have made it more clear. You know what Operation Twist means? It means we’re all getting twisted,” he said on “The Kudlow Report.” “There’s not really an economy out there.”
The one bright spot, however, was commercial real estate.
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“Why? Because interest rates are so low. You have to figure if the Fed is going to crush interest rates and keep them low, and people are afraid to put their money in the stock market, where is that money going to go? People are willing to investment in real estate,” Lutnick said. “Real estate’s got life, even though it doesn’t make sense.”