FED, Bloomberg, Chris Harvey discussed on Bloomberg Surveillance
From Bloomberg television. Here's Sherry an improving backdrop in the US and signs of stabilization in Europe. And Asia is prompting Bank of America to relax. It sounds on the stock market and in may not be alone. Wells Fargo's Chris Harvey's considering raising his SNP target which shipped Shipton from one of the most bearish on Wall Street and into the ranks of the ball count. He joins us now. Chris O Tel with rates were there. Now what fair valley? Before the S and P five hundred what's driving us to improve our price. Target is the fed has got on hold. They become very dovish. The other thing. That's happened is interest rates have come down and credit spreads have tightened. Furthermore, were probably low or close to the lowest rate on EPS. And so when we start discounting things are SAP price. Target does go higher, and I think at the end of the day, we're a little bit too pessimistic. And when we made that as a price target what we'd seen or what we were expecting the fed to raise rates this year. Should we be concerned though, about a self-fulfilling pullback in stocks when recession concerns it take a hold? So we're worried about the short-term because again, the fed is w says they can be the other thing is we're into pre season interest rates are coming down throughout the globe. Fears of recession are starting to go higher. We don't think those fears are founded, but you have to acknowledge that and that's going to wear markets in the short term. Hear more interviews like this one on Bloomberg television, streaming live on Bloomberg dot com and on the Bloomberg mobile app or check your local cable listings. Global.