John Burbank of Passport Capital and Jefferey Kronthal KLS Diversified Asset Management was on CNBC today sharing their views on the market. John Burbank warned that equities should not be used as a barometer for the overall market. He thinks the trend to yield is not a normal trend but thinks it has some more legs under it and will last three more years. He thinks the world will not grow and will not become more liquid so this bodes well for investors chasing yield. He thinks you want to own US based companies that are world leaders.
Jeffery Kronthal went on to state that we are range bound on interest rates for quite some time. The economy is quite sensitive on rates and he thinks the range is 150 -200 for quite some time.