Hedge fund manager Doug Kass' repeated forecast this year for a stock market correction obviously hasn't proven to be correct so far, and he blames it on the Federal Reserve.
"Where I've gone wrong, and I'm being a little facetious, is that I didn’t realize the Fed's mandate had gone from employment and inflation toward elevating the Dow and the S&P 500," he told CNBC.
Both indices closed at record highs again Wednesday.
"The earnings landscape continues to be challenging, and the market hasn’t cared because global monetary policy is dominating the revenue and earnings lethargy," said Kass, president of Seabreeze Partners.
"We're in a P/E [price-earnings]-driven market, and these are always far more difficult to assess than earnings-driven markets." That's because the P/E-driven markets move on the basis of sentiment and psychology, Kass explained.
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