JPMorgan's Bearish Stock-Market Call: Investors Brace for Panic in 2024

JPMorgan's chief market strategist, Marko Kolanovic, warns that falling inflation and economic activity in 2024 may cause investors to panic, as it could indicate a slide towards a recession. Kolanovic believes that stocks and other risk assets cannot sustain a bullish run without substantial interest-rate cuts by central banks, which would only occur if markets fall substantially or the economy sharply declines. He advises investors to choose cash or bonds over stocks, as equities are trading at high earnings multiples.