Stocks are poised to tumble – and many Americans are ‘prisoners in their own homes’ after mortgage rates soared, top economist David Rosenberg says

• Stocks are set to slump and many Americans are “prisoners in their own homes,” David Rosenberg says.
• Sky-high asset prices are likely to drop if the Fed marches on with interest-rate hikes, he says.
• Rising rates have driven up mortgage costs, deterring many sellers, the economist says.

Stocks are poised to tumble as economic pressures mount, and the historic surge in mortgage rates means many Americans are now “prisoners in their own homes,” David Rosenberg says.

“The bond market has clearly paid a price,” he said in a Monday memo, referring to bond prices slumping in recent months as yields surged. “Round two of the drawdown in the equity market is set to follow. Cash is king.”