“In a massive presentation on his year-end predictions, Parker explains why:
- Earnings growth is very poor.
- Earnings are volatile, and that’s also ominous.
- Historically, extreme rates (both high and low) are bearish. Our current sub-zero interest rates are bad.
- Historic price-to-earnings ratios at this time of year suggest a downturn. “Investors are overpaying for cyclical earnings!” he exclaims, adding, “most industry groups appear to be over-earning right now.”
