Business

Fed needs to hike to slow inflation without recession, Credit Suisse says

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20 February 2022 - 08:00
by Bloomberg

The US Federal Reserve needs to deliver a Volcker-style shock to drive down asset prices if it wants to slow inflation without causing a recession, according to Credit Suisse Group strategist Zoltan Pozsar.

Policymakers should stoke volatility to set off corrections in assets including stocks, houses and bitcoin, deterring early retirement and driving people into the workforce, Pozsar wrote in a note to clients...

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