Jim Paulsen says inflation has peaked: is it time to start buying?

Leuthold Group's Jim Paulsen says U.S. inflation has peaked.
He's convinced the U.S. Fed will still orchestrate a soft landing.
The S&P 500 index is now down nearly 10% since late March.

U.S. inflation hit 8.5% in March – highest since 1981, and Jim Paulsen, the chief investment strategist at Leuthold Group says it’s as bad as it gets.

Paulsen’s remarks on CNBC’s ‘Squawk Box’

The talk of an aggressive Fed has the S&P 500 index now down nearly 10% since late March. Still, Paulsen sees reason why it might be a good time to start buying again. On CNBC’s “Squawk Box”, he said:

A day earlier, Mad Money host and famed investor Jim Cramer also said investors should brace for a possible recovery in the U.S. equities.

Paulsen sees a soft landing ahead

Despite sell-off, the benchmark continues to hold its previous low on March 8^th. According to the money manager, the U.S. central bank could still orchestrate a soft landing. Paulsen noted:

The Federal Reserve has signalled a 50 bps increase in May and plans on trimming its balance sheet by $95 billion a month, which could also start as early as next month.