Category: soft landing 2022

The Fed’s path to a soft landing of the economy is a ‘fanciful magic carpet trip’ as its inflation fight...

Federal Reserve Board Chair Jerome Powell. (AP Photo/Carolyn Kaster) The Fed’s targets of bringing down costs whereas avoiding a recession is a “fanciful magic carpet ride,” Ned Davis Research warned. The research firm pointed to the Fed’s delicate balancing act between these targets, calling it a “lose-lose scenario.” Even if the Fed drives the economy into a recession, inflation might simply rebound if demand rises,…

The odds of a soft landing are ‘meager’ and recent rallies in the stock market haven’t been supported by fundamentals,...

Mohamed El-Erian Mohamed El-Erian The odds of the Fed sticking a a soft landing of the financial system are “meager,” Mohamed El-Erian warned. The economist stated that recent rallies in shares have been unsupported by financial fundamentals. “This is a market that repeatedly falls in love with liquidity and therefore rallies.” The odds of a soft landing of the financial system at this level are…