Deficit Spending Will Send S&P 500 To 6,000 And Beyond | George Robertson & Mel Mattison on the True Risk-Free Rate and The Fed's Control of The Treasury Market
Forward Guidance is sponsored by VanEck. Learn more about the VanEck Morningstar Wide MOAT ETF (MOAT) at https://vaneck.com/MOATFG.\n--\nThis interview with George Robertson and Mel Mattison explores why deficit spending will send stocks and risky assets higher. We also discuss the true risk-free rate and the Federal Reserve\u2019s control over the Treasury Market, nominal GDP\u2019s relationship to interest rates, and stock market valuations that could lead to a collapse in 2027.\n__\nFollow George Robertson on Twitter https://x.com/BickerinBrattle\nFollow Mel Mattison on Twitter https://x.com/MelMattison1\nFollow VanEck on Twitter https://x.com/vaneck_us\nFollow Jack Farley on Twitter https://twitter.com/JackFarley96\nFollow Forward Guidance on Twitter https://twitter.com/ForwardGuidance\nFollow Blockworks on Twitter https://twitter.com/Blockworks_\n__\n\nTimestamps:\n00:00 Introduction\n01:26 Why George Robertson Is Bullish\n04:12 Are Fiscal Deficits Juicing the Economy?\n05:43 Impact Of Passive Fund Flows On The Market\n09:33 Unemployment And The Labor Market\n13:22 Government Spending And The Economy\n20:16 GDP Is Booming\n21:13 VanEck Ad\n26:40 The Fed Is Looking For A Reason To Cut Rates\n30:47 Are Higher Rates Stimulating The Economy?\n35:46 Nominal GDP And Interest Rates\n52:18 How The Fed Controls The Yield Curve\n56:47 Rates Are Artificially Low\n01:18:05 How The Fed Manipulates Treasury Rates\n01:29:15 Market Distortions Pushing Risk Assets Higher\n01:34:09 Stock Market Boom, Earnings & Valuations\n01:59:54 Market Bubble Will Eventually Collapse\n02:03:26 Reforming Entitlement Spending\n02:08:36 The US Will Solve All Problems\n02:15:34 The Ticking Time Bomb Of US Debt\n02:24:07 How The 2024 Election Impacts The Economy\n02:30:26 Learn More About George And Mel's Work\n02:32:15 Thoughts On Small Caps\n\n__\nDisclaimer: Nothing discussed on Forward Guidance should be considered as investment advice. Please always do your own research & speak to a financial advisor before thinking about, thinking about putting your money into these crazy markets.