'We're Heading for Recession,' Says Sam Zell
By Jeff Cox | CNBC â 3 hours ago
A compounding lack of confidence in the future has kept American companies from investing in their businesses and is leading the country back into recession, real estate mogul Sam Zell told CNBC.
The CEO of Equity Group Investments, which holds multiple publicly traded companies primarily in the real estate space, said a lack of leadership in Washington is keeping the $2 trillion or so of cash on company balance sheets on the sidelines.
That's happening even as the Federal Reserve continues pumping liquidity, which Zell said is being used only to prop up the stock market.
"Nobody wants to make commitments beyond tomorrow," Zell said during a"Squawk Box" interview. "One of these (recession) triggers is when enterprise projects start getting delayed. We're heading for a recession and that's exactly what you're looking at now. You're looking at capital expenditures across the board being deferred for a reason: There's no confidence."
http://finance.yahoo.com/news/were-heading-recession-says-sam-145407630.html
By Jeff Cox | CNBC â 3 hours ago
A compounding lack of confidence in the future has kept American companies from investing in their businesses and is leading the country back into recession, real estate mogul Sam Zell told CNBC.
The CEO of Equity Group Investments, which holds multiple publicly traded companies primarily in the real estate space, said a lack of leadership in Washington is keeping the $2 trillion or so of cash on company balance sheets on the sidelines.
That's happening even as the Federal Reserve continues pumping liquidity, which Zell said is being used only to prop up the stock market.
"Nobody wants to make commitments beyond tomorrow," Zell said during a"Squawk Box" interview. "One of these (recession) triggers is when enterprise projects start getting delayed. We're heading for a recession and that's exactly what you're looking at now. You're looking at capital expenditures across the board being deferred for a reason: There's no confidence."
http://finance.yahoo.com/news/were-heading-recession-says-sam-145407630.html