Fed a 'bigger risk' in 2022 than inflation, market expert warns

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Independent Advisor Alliance CIO Chris Zaccarelli on how inflation impacts Federal Reserve policy.

I mean, I think the Fed is a bigger risk, I mean, clearly, inflation is what's driving the Fed's actions, and so you can say inflation is the cause of what's driving the Fed to make that huge pivot. One that Powell made in December. And then in the minutes, we were able was revealed that the other members maybe are even more hawkish than Powell let on as of last month.

So I think ultimately it's the Fed that drives everything if the Fed gets really, really aggressive runs off the balance sheet in addition to raising rates too quickly, that's a risk for the markets. Now, I think the Fed, it has to act quickly because of inflation. They're going to start moving and you're seeing that already. However, I do think they are going to be somewhat patient if they can get a little bit ahead of the inflation numbers.

 

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the Fed can support the US dollar or the economy ... not both and this is a pickle they have created, period

Lol. Always. ‘Smart People’ have defiantly inflicted more pain on my life than than natural market forces.

Fox News a 'bigger risk' to democracy in 2022 than the Fed, American people warn.

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