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wildwest
I wouldn't describe myself as a fan of Crispin Odey, but I think there is a lot of sense in what he is saying here:
“We went into coronavirus with the market incredibly bullish, everyone was long. I’m more cautious than most people.”
He said that last year’s rally in markets — the S&P 500 delivered a return of 29 per cent — was driven by the expansion of price/earnings multiples rather than earnings, which meant that investors were paying more for the same streams of profits.
“What you really needed for this year [2020] was for earnings to come through. Earnings are just not coming through — it’s going to be the opposite. The question is, does another dose of monetary madness offset the willingness of the market to really look at what’s really going on?”