Dan Loeb is Third Point hedge fund manager, this via a client note:
- believe equities should go higher
- but at a moderate pace
- more fragile than it was a year ago
"The single most important factor to follow is Fed action … Tightening of that magnitude has almost always resulted in recession. While we believe this well‐seasoned Fed understands exactly the tightrope it is walking, the risk of destructive action is not zero"
Three other risk factors
- Escalating trade war
- slowing economic growth rate
- Rising inflation
