The world’s largest hedge fund told clients the Fed is making a mistake


BusinessInsider/Rachael Levy/09-28-17

“The Fed is basing its moves on classic cyclical indicators and the desire to ‘normalize’ the balance sheet,” Bridgewater Associates told clients in a private note, which was seen by Business Insider. “Based on the calculations that we do, we doubt that the Fed will be able to execute its plan without causing problems.”

Reason 1 (of 5): “There is not nearly enough inflation and overheating risk to make concerns about inflation and overheating of paramount importance.”

Share
This entry was posted in Central Banks, Fed, inflation, Monetary Policy, QE. Bookmark the permalink.

Comments are closed.