November 17, 2021
Economy

Afghanistan is disaster, but these two market risks are worse: Invesco

There are two risks high on Invesco’s radar, but the Taliban takeover in Afghanistan isn’t one of them.

Kristina Hooper, the firm’s chief global market strategist, sees a Federal Reserve policy mistake and the Covid-19 delta variant as bigger threats to the U.S. economy and stocks.

This [Afghanistan] is certainly a human tragedy. It’s a disaster,” she told CNBC’s “Trading Nation” on Monday. “Yet, what we have learned time and time again is no matter how big the disaster [and] no matter how significant the geopolitical risk seems, it rarely has much of an impact on markets.”

According to Hooper, investors should focus on their long-term investment goals and keep a close eye on the Fed’s tapering plans instead.

“It’s a significant risk because we could see the Fed move too quickly to tighten policy,” she noted. “It could even choke off the recovery.”

Even though Hooper believes the risk is…

Read full article here: www.cnbc.com