Question
Recently, Jamie Dimon, the CEO of JP Morgan Chase (an American investment bank), suggested that the S&P 500 index could fall by another 20% from
Recently, Jamie Dimon, the CEO of JP Morgan Chase (an American investment bank), suggested that the S&P 500 index could fall by another 20% from current levels. Given this, an investment analyst, Mr. Sharp, writes in a note to his Asian and European clients: now is the time to short-sell American equities! More so, he goes on to suggest that because yields on the Nigerian government's 10-year bonds are around 13%, his clients should use their anticipated profits from the short-sale to buy these bonds.
In a 2-4 paragraph response, comment on this investment advice. Clearly state any assumptions you make. Your answer should be logical and coherent.
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