The Stock Market can be Fixed for Years

Leon Cooperman is worried about the long-term outlook because too many loans have been created. The stock market can be fixed for years. The billionaire and investor tells CNBC.

Cooperman believes that shares are fairly priced at the moment, but that he has looked back at data that has shown that when you buy the S&P 500 when trading around 22 times the profit, the profit has been almost zero for the next five years.

“I think the overwhelming reality is that the Fed has created this environment with free money. You have to assess in a way whether it is justified, how long it will last and what impact this will have on the long-term outlook. ”

He is also said to be worried about who will pay for the party once the party is over.

However, the investor believes that the short-term outlook may be favorable in the light of central bank policies, the near-clarified presidential election and an incoming stimulus package.