My favourite strategist is back.
Macquarie strategist Viktor Shvets sees the potential for what he calls a “Lehman Brothers moment”.
…Volatility indices and credit spreads are not at crisis point yet, Shvets says, but “it seems that short of abandoning current policies, the self-reinforcing loop of deleveraging – and there is no healthy deleveraging in a highly leveraged model – might persist”.
