El-Erian: It’s ‘uncomfortably possible’ that the Fed will ‘push us into recession’
“I do worry that the probability of a soft landing, which means you bring down inflation without unduly hurting growth and employment, has declined significantly because of a series of Federal Reserve mistakes,” El-Erian said.
Instead of the Fed leading the marketplace, El-Erian said, “the marketplace is dragging the Fed along, and the Fed is consistently late. ... That is why central bank credibility is so important.”
Strategists at BlackRock’s Investment Institute argued in a note published Tuesday that the current path of rate hikes is poised to stall economic growth without solving the inflation issue.
Netflix lays off another 300 employees amid sagging stock price, ‘slower revenue growth’