[ad_1]
Between rates, rising costs and a flattening of the yield curve, Barry Sternlicht, chief executive officer of Starwood Capital Group, is not overly optimistic about the state of the US economy. he said Wednesday in an interview with Cramer.
"I think the Fed will have to be careful," he told the host "Mad Money". "The economy is not as strong as the number indicated."
One of the prime concerns of the real estate investor was the yield curve, which is so flat that it almost allows you to borrow money at a similar two-year rate to a loan at a rate of 30 years.
"This is not what we are used to, but generally, it's a sign of a slowdown .I think it's a sign of a slowdown," he said. he told Cramer.
And with a $ 300 billion stimulus package, tax cuts and the trade dispute with China on the government's plate, "it will be difficult" to control the situation, suggested Sternlicht.
"What people do not understand about tariffs, is that you will see their impact, I think, in the first quarter of next year," he said. "Because the inventory was there – it's on the shelves, in the warehouse, it was bought without the tariff.You will therefore have a latent inflation pressure in the market that the Chinese are trying to deflate by reversing their currency. "
Click here to watch Barry Sternlicht's complete interview.
Source link
