Tech "slowdown" contributing to economic woes

A financial market strategist says the “limited” U.S. technology frontier is contributing to an already difficult economic situation.

“We’re on the verge of a great, great depression. The [Federal Reserve] knows it,” Peter Yastrow, market strategist for Yastrow Origer, told CNBC.

“We have many, many homeowners that are totally underwater here and cannot get out from under. The technology frontier is limited right now. We definitely have an innovation slowdown and the economy’s gonna suffer.”

According to Yastrow, Wall Street is having a rather hard time moving forward with ultra-low yields as the U.S. economy sputters.

“What we’ve got right now is almost near panic going on with money managers and people who are responsible for money. They can not find a yield and you just don’t want to be putting your money into commodities or things that are punts that might work out or they might not depending on what happens with the economy,” he said.

“We need to find real yield and real returns on these assets. You see bad data, you see Treasury rally, you see all bonds and all fixed-income rally and then the people who are betting against the U.S. economy start getting bearish on stocks. [But] that’s [actually] a huge mistake…”