Sonders: “V” Shaped Economic Recovery is Underway

Schwab Chief Market Strategist Liz Ann Sonders, who correctly predicted the recent recession in October 2008 and its end in June of 2009, remains optimistic about the economic future of the US. In an interview with Yahoo Tech Ticker, Sonders explained that she thinks we are already in the “V” portion of a V shaped recovery and that that she expects the economy to flatten coming out of this period, but she does not anticipate a double dip recession. Sonders believes that the Fed is currently looking for an exit strategy from the current near zero percent interest rates and believes that rising rates would not necessarily be a bad thing for stock market investors. She also does not feel that the continued rise in unemployment indicates that an economic recovery is not occurring, since a peak in unemployment usually follows the end of a recession by six months.