By Tyler Durden | 7 April 2020
ZERO HEDGE — Not even in Khruschev’s wildest dreams did central planners ever conceive of anything so absolutely batshit insane as what is taking place in US “markets” right now.
With the US economy sliding into a depression which will last at least one quarter, and if Evercore’s Ed Hyman is correct well into the second half if not 2021…
… it is not a surprise that according to the latest New York Fed survey of consumer expectations, virtually every metric having to do with one’s financial well being – income, wealth, debt sustainability and earnings expectations – is cratering. For example the expected probability of losing one’s job jumped to an all-time high of 18.5%; the probability of missing a minimum debt payment over the next three months surged to 15.1%, and expected earnings growth tumbled to just 2%.
While the above data may not have been surprising, what was shocking is what the Fed reported was the average consumer expectation for stock prices in the future: according to the NY Fed, the mean probability that US stock prices will be higher one year from now surged to 47.7%, the highest on record. […]