The Fed, oil, China among factors driving market volatility, strategist says

John Stoltzfus, chief investment strategist at Oppenheimer, and Jurrien Timmer, director of global macro at Fidelity Investments, join 'Squawk on the Street' to discuss the latest market activity and what to expect going forward.

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[Bra-a-ains]

The DOW will continue to fall due to Quantitative Tightening. DOW went to 26, 000 due to liquidity brought about by $3 trillion in Quantitative Easing. Now that the Fed has promised to take $3 trillion out of the economy by Quantitative Tightening, the DOW will go down to around 14, 000.
1. Employment paid a steep price for the housing bubble and it took a decade to get back on its feet.
2. Housing paid a steep price for the housing bubble and it has taken a decade to get housing on a firm footing.
3. The stock market has not yet paid its price for the housing bubble of 2008, thanks to QE. Now that housing and employment are stabilized, it is time for the stock market to pay its price for the housing bubble via QT.

Supply and Demand trumps all other economic principles. With QT, there will be little money to buy stocks as people allocate their money to maintain housing and employment. Therefore, with little demand, but a constant supply of stock, stock prices have to fall until the $3 trillion is paid back. DOW = 14, 000 by the end of 2020.

[determined]

Merry Christmas! You get to retire later than expected

[chrisredfield]

Forget the price of gold watch the price of silver

[kornpop]

why are record low energy prices bad for the usa consumer?

[duny]

Housing bubble, bankruptcy, this time would be worst. Don't say I don't tell you.

[hl]

Funny he doesn’t talk about the drastic differences in the bond market/ yield.

[honestbusiness]

Maybe give the rich trillions more tax dollars.

[donkruuz]

Trade wars are good and easy to win so said the donald

[anonymousmatthew]

Pretty sure everyone is copying me and trading short ETFs. Once traders close their short sales, the market is going to burst up. No bear market.

[TheKkpop]

Poor loner! 65% of comrades from Trump empire are either fired or resigned.
Doesn't he know More will leave him.