Selloff or Market Correction? Either Way, Here's What to Do NextSee Overvalued Stocks

Hedge fund founder Steve Cohen 'actually pretty bullish' - Bloomberg

Published 2023-05-17, 02:52 p/m
© Reuters.
SPY
-

Steve Cohen, the founder of hedge fund Point72 Asset Management and owner of the New York Mets, is said to have told attendees at a private SALT conference event Tuesday that investors are too worried about a market decline.

Bloomberg said people that heard him speak at the event told them that investors focusing too much on a potential recession may result in them missing the "big wave" of opportunities as a result of artificial intelligence.

"I'm making a prognostication — we're going up," Bloomberg quoted Cohen as saying. "I'm actually pretty bullish," he reportedly added.

The hedge fund founder believes the rising AI industry will likely create new jobs. Even though he is worried about the "types of jobs that will be displaced," Bloomberg wrote that he believes profit margins will improve, reducing pressure on the Federal Reserve to combat inflation with additional rate hikes. As a result, it will boost markets, he told the audience.

Cohen is not alone in his stance. Bloomberg said fellow hedge fund manager Stan Druckenmiller commented last week that "AI is very, very real and could be every bit as impactful as the internet."

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.