Insiders Let It Slip: “A Paradigm Shift Has Begun”

• Global markets are in the beginning of a fundamental shift after a 15-year period defined by low interest rates and cheap corporate debt, according to Morgan Stanley co-President Ted Pick.
• The transition from the economic conditions that followed the 2008 financial crisis and whatever comes next will take “12, 18, 24 months” to unfold, he said last week at a New York financial conference.
• Out of the ashes of this transition period, a new business cycle will emerge, Pick said.

Global markets are in the beginning of a fundamental shift after a nearly 15-year period defined by low interest rates and cheap corporate debt, according to Morgan Stanley co-President Ted Pick.

The transition from the economic conditions that followed the 2008 financial crisis and whatever comes next will take “12, 18, 24 months” to unfold, according to Pick, who spoke this week at a New York financial conference.

“It’s an extraordinary moment; we have our first pandemic in 100 years. We have our first invasion in Europe in 75 years. And we have our first inflation around the world in 40 years,” Pick said. “When you look at the combination, the intersection of the pandemic, of the war, of the inflation, it signals paradigm shift, the end of 15 years of financial repression and the next era to come.”

www.cnbc.com/2022/06/05/morgan-stanleys-pick-says-a-paradigm-shift-has-begun-in-markets-what-to-expect.html