Hedge fund manager Ackman expects even higher long term US rates

Bill Ackman is the founder and CEO of Pershing Square Capital Management.

He’s posted a long tweet:

Some points he makes:

  • The world is a structurally different place than it was.
  • The peace dividend is no more.
  • The long-term deflationary effects of outsourcing production to China are no more.
  • Workers and unions’ bargaining power continues to rise. Strikes abound, with more likely to come as successful walkouts achieve substantial wage gains.
  • Energy prices are rising rapidly. Not refilling the SPR was a misguided and dangerous mistake. Our strategic assets should never be used to achieve short-term political objectives. Now we must refill the SPR while OPEC and Russia cut production.
  • The green energy transition is and will remain incalculably expensive.
  • And higher gas prices will raise inflationary expectations.

His list of woes goes on and on. To be fair he’s been on the right side so far.

He finishes with a cheeky wink:

  • But I could be wrong. AI might save us.

Yeah, AI is of huge benefit to mankind 😉

This article was written by Eamonn Sheridan at www.forexlive.com. Source