‘Trillion on top of a trillion’ in stimulus will push 10-year Treasury yields to 2% by year-end, top forecaster says MarketWatch 2/20/2021
FORECASTER OF THE MONTH
Massive U.S. fiscal stimulus will overwhelm the crippling economic impact of the coronavirus over the next few months, says Aneta Markowska, chief economist at Jefferies and the winner along with money market economist Tom Simons of MarketWatch’s Forecaster of the Month contest for the second month in a row.
“If you give people money, they are going to find a way to spend it,” Markowska says. Although the U.S. economy lost steam late in 2020, that “negative momentum will reverse by February,” she says.
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