Bearish Gary Shilling is sticking by his guns:
* The US economy will only grow 2% per year over the next decade, thanks to the clobbered consumer
* Excess supply will keep driving prices down
* The Fed won’t implement an “exit strategy” for years
* Yes, Q3 GDP will be positive, but Q4 will go negative again and the market will collapse in disappointment. The recession won’t end until the middle of next year.
Here’s a clip of Gary on Bloomberg this morning:
In case you haven’t seen it, here’s Gary’s thesis spelled out in detail: