Evercore's (EVR) Altman on Market Rebound Post-Brexit
NEW YORK (TheStreet) --With the stock market rallying to record-highs Roger Altman, founder and executive chairman of Evercore Partners (EVR) - Get Report , joined CNBC's "Closing Bell" to discuss his thoughts on the current state of the market and global centralized banks.
There are four factors, Altman explained, that reflect the snap-back of the economy post-Brexit.
"One is that interest rates are going to be lower for longer, second is that Brexit isn't going to have any meaningful impact on the U.S., third is that the U.S. economy continues to be steady even at the 2% rate, and fourth other markets are flashing signs which are positive for equities," Altman explained.
Moreover, yields are down, oil prices are up, and in this environment that's a positive, he noted, before tackling the issue of central banks and their impact globally, specifically in Japan.
"You have to be skeptical about the Japanese economic outlook," Altman said in terms of the money spent relative to its effect.
"But the larger point is that since 2009, if you take the balance sheets of the U.S. Fed, the ECB, and the Japanese Central Bank, together they have increased by 8 trillion dollars," he noted.
Though that figure is astronomical, Altman did insinuate that it was these banks keeping the industrialized economies afloat, however questioned the suitability of such practices, and policies.
Finally, Altman posed his outlook in terms of the future for the economy in the U.S.
"Short and medium term I think the outlook for equities is good, there's a flood of capital into dollar assets, and equities look good in terms of historical returns and dividend yields. But, a 1.5% treasury over the long-term is a sign of weakness, signifying weak global growth and geopolitical instability," Altman said, before urging caution about the role central banks have played historically.
Shares of Evercore closed higher 3.04% to $47.78 on Tuesday.
Separately, TheStreet Ratings rates Evercore as a "Hold" with a ratings score of "C+". The primary factors that have impacted TheStreet Ratings are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks.
The company's strengths can be seen in multiple areas, such as its revenue growth, increase in net income and growth in earnings per share. However, as a counter to these strengths, TheStreet Ratings also finds weaknesses including a generally disappointing performance in the stock itself, poor profit margins and weak operating cash flow.
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: EVR