JPMorgan’s Marko Kolanovic thinks investors are playing with fire, as stocks continue rising despite the Federal Reserve’s tightening monetary policy.
“There is an old adage, ‘Don’t fight the Fed,’ but this behaviour is not just fighting but also taunting the Fed with crypto, meme stocks, and unprofitable companies responding best to Fed communications,” Kolanovic, the bank’s chief global market strategist, said in a note to clients.