Bove says as much as 30% of U.S. households could find themselves being forced out of their banks since they’re not deemed profitable.The shift will create investment opportunities as depositors look to other companies to provide banking services.
The Fed is trying to create “the illusion of prosperity” by fueling asset price appreciation, Boockvar says, staying true to his reputation as a deficit hawk. Even if the U.S. stock market keeps rallying, “non-dollar assets” like commodities and emerging markets will continue to outperform, he says.