Over-regulation may impact market but won’t cripple earnings: Peter Cardillo

According to Peter Cardillo, Chief Market Economist at Spartan Capital Securities, the US is likely to face a mild recession in the near future. However, Cardillo reiterates that regulators must regulate the banking industry without over-regulation, which would negatively affect future corporate earnings. He predicts that corporate earnings will be impaired but not crippled. A recession will cause earnings to cool off in Q2 or Q3 of this year. The regulations are expected to be similar to those post the 2008 banking crisis.