Piper Jaffray CEO: Search for Yield Has Gone to Equities

The video discusses the current market conditions with high rates and low yields, influenced by global monetary policy. It explores the impact on asset classes and valuations, particularly in equity markets. The discussion includes the bull market in treasuries and the potential for economic strength, with a focus on the Fed's policy to normalize yields. Despite low corporate earnings, there is optimism for growth driven by consumer confidence.

What is the primary reason for the high valuations in equity markets despite low rates?

• Decreased unemployment rates

• High corporate earnings

• Extraordinary global monetary policies

• Increased consumer spending

What is the predicted yield on the 10-year treasury according to the discussion?

• 0.5%

• 1%

• 1.5%

• 2%

What GDP growth is anticipated for the third and fourth quarters?

• 2%

• 1.5%

• 1%

• 2.5%

What is one factor that could potentially turn around the declining corporate earnings?

• Consumer confidence

• Increased government spending

• Lower inflation

• Higher interest rates

What has been the trend in corporate earnings for large caps over the past five quarters?

• Increasing

• Stable

• Decreasing

• Fluctuating