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Fort Washington Investment Advisors CIO Nicholas Sargen gives his outlook for the world markets.
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Thank you.
With Greek elections on Sunday the parties made their last -- For -- down -- sergeant believes no matter the outcome of Sunday's election -- market rally that comes after that would be only temporary.
He joins us now to CI I'll -- Fort Washington investment advisors.
-- it looks like that the the Liberal Party the what the want to cancel angry about bailout could easily win the now the market doesn't rally if that happens correct.
Oh absolutely that would be the sell -- scenario because.
You know what would basically happened is we've already seen it -- run on the Greek banks at -- -- -- -- so that takes over.
And then you know the Greeks basically have to ask for help.
But if they aren't willing to give -- to the demands of the creditors.
It could be ball game over so that's the worst outcome.
OK but why isn't a -- resent -- obvious that a name that party.
Well why is it a victory by that Liberal Party that wants to scuttle the -- already in stocks were kind of expecting that the most radical anti bail out guys are gonna win this thing are we have an already -- there.
I would say some of it might be you don't -- when not you know you basically look at the markets -- you know where we were at the end of April or so I really think the sell off that we saw.
In -- -- was partly all what if that happens but then you know we've gotten a bit of a rally and I think partly.
Because there is uncertainty about the outcome election and then the other argument is.
The central banks are gonna -- around Europe are just gonna flood the market with liquidity that's what's given this market a bit of a bounce.
But I think -- that's temporary in my view.
Because over all of the longer term how much longer term you think that stocks are headed down down down.
Well I don't know that it's headed down down down but we're in this limbo state you know I've been in the camps from the beginning of the well from the spring.
That we had a huge rally.
It's out you're probably going to consolidate and I think that's what we saw now.
When Greece came into play and other things then you do you say wait a minute I wasn't prepared that we could be facing a possible exit from the Euro zone.
So I think we deal with that and certainly and then of course we're gonna have our own election uncertainty later this summer.
So I'm in you know we're probably in limbo land at least -- leading up to the RUS elections.
All right you know what.
I'm so tired of being afraid anti commie like Greece is the size of Connecticut goes belly up in default I don't care I'm buying stock to -- -- thank you next sergeant like a.
