NEW YORK - June 1, 2011 - Wall Street is having a hard time figuring out what to do now that the U.S. economy appears to be sputtering and yields are so low, according to Peter Yastrow, market strategist for Yastrow Origer.

"What we’ve got right now is almost near panic going on with money managers and people who are responsible for money," said Yastrow. "They cannot 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.

"We need to find real yield and real returns on these assets. You see bad data, you see Treasuries 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. That’s a huge mistake."

Stocks extended losses after the manufacturing fell below expectations in May and the private sector added only 38,000 jobs during the month.

"Interest rates are amazingly low and that, thanks to Ben Bernanke, is driving everything," said Yastrow. "We’re on the verge of a great, great Depression. The [Federal Reserve] knows it.