Baby boomers are the big winners from the Federal Reserve's policies, Larry McDonald said.
Years of low interest rates boosted asset prices, and now they can earn 5% from Treasury bills.
AdvertisementAdvertisementMcDonald's X post made the point that higher rates have lifted yields on Treasury bills to more than 5%.
As a result, baby boomers have the option to cash out their profits, invest in short-term government debt, and collect a solid, guaranteed return.
While baby boomers are under fire for hoarding wealth, their spending in retirement could prove crucial in sustaining the economy and preventing a recession, market veteran Ed Yardeni argued this summer.
Persons:
Larry McDonald, McDonald, Lehman, He's, boomers, Baby, That's, Ed Yardeni
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