Mohamed El-Erian: Central Banks Can't Back Down From Tightening Amid Criticism
Central banks can't let criticism stop them from taking away the punch bowl from markets, Mohamed El-Erian warned.
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Central banks can't let criticism stop them from taking away the punch bowl from markets, Mohamed El-Erian warned.
"There are only a handful of us who think that the risk of doing too little is higher than the risk of doing too much at this stage," El-Erian said.
Amid an energy crisis, sky-high inflation, and a possible recession, some experts think a new debt crisis could also be looming for some European nations.
"The Fed is so late, it will probably break something on the way to reducing inflation," Mohamed El-Erian said. He warned of more risks to market stability.
The International Monetary Fund warned Tuesday that global financial stability risks have increased, raising the risk of a disorderly repricing in markets, as it pointed to emerging markets and housing markets as particularly vulnerable.