2 Question Tuesday – 06/04/2024 – What Is Private Credit And Should Investors Be Worried & Are Weak Treasury Bond Auctions Affecting Stocks?

Welcome to 2 Question Tuesday. This week’s client submitted questions were:

  1. What is private credit and should investors be worried?
  2. Are weak Treasury bond auctions affecting stocks?

Phil, Mike, and Larry discuss last Wednesday’s comments by JPMorgan Chase CEO Jamie Dimon, who said he expects problems to emerge in the $1.7 trillion private-credit industry, particularly as retail clients gain access to the booming asset class. They then talk about last week’s weak sale of Treasuries, which sparked concerns that funding the US deficit will drive up yields at a time when the Federal Reserve is in no rush to cut rates. With inflation sticky, these bond sales may be affecting stocks.

Submit your questions to question@2questiontuesday.com

As always, if you have any questions at any time, please feel free to call your adviser directly at (845) 691-4035.

Host Lawrence Carrel’s books available available at Amazon.com