Fed Could End Up As A Laughing Stock: Albert Edwards

Societe Generale’s Albert Edwards points to the S&P profit slump as proof that the US recovery isn’t as strong as the Fed believes, even if wages are improving

Most analysts expect the first Fed rate hike to happen this year, possibly the summer, and while he doesn’t necessarily disagree that a rate hike is coming Societe Generale uber-bear Albert Edwards warns that it could be coming at exactly the wrong time.

“The Fed always spins a bullish yarn. Their track record of over-optimism is only surpassed by the appalling record of private sector forecasters – most especially in forecasting recessions,” he writes. “I...