U.S. is top safe haven amid Russia-Ukraine war: Blackstone’s Joe Zidle
One of the most respected private equity firms in the world suggests that the United States is the best safe-haven option.
Joseph Zidle of Blackstone says it is largely protected from Russia-Ukraine conflict fallout.
CNBC’s chief investment strategist at the firm said, “The U.S. Is an Island Of Growth.” “Fast Money” Thursday. The U.S. has $6 trillion of stimulus funds, making it one of the largest economies worldwide.
Zidle points out the immense benefits of corporate and household balance sheets.
Zidle stated that it means that the U.S. is able to grow despite the headwinds facing the rest of the globe.
Wall Street could be hearing the message. Stocks staged a massive turnaroundIn the last hour of trading. In the final hour of trading. Dow, S&P 500Tech-heavy NasdaqMoved into positive territory.
While he acknowledges the risks of rising input costs tied to commodities and central bank rises, there are still other options. Zidle said that the U.S. has a significant advantage because of its strong labor market.
This is why Zidle, who has been swept up by the selling of housing, is considered a long-term bear on the subject. It is the SPDR S&P Homebuilders ETFThe industry tracker, is down 21% this year.
He noted that “Personal Income has increased more than the rise in mortgage rates.” It’s crucial to remember… [the]Rising wages and strong labor markets are signs of rising wage growth. In the past, housing has been more closely linked to labor rates than it was to mortgage rates.
Zidle is also optimistic about job security, rising home values and favorable employment prospects. consumer stocks.
The consumer is facing many issues due to higher input costs and the competition for their wallet. Zidle stated that a strong labor force can offset a lot.