Mohamed El-Erian – Twitter, Released on 12/6/22
Bottom line: while the headline rate will continue to fall, #inflation is likely to prove more sticky than the Federal Reserve seems to expect.
With that, the 2s-10s yield curve inversion deepened to levels last seen 41 years ago (Bloomberg chart below).
More to follow#economy
— Mohamed A. El-Erian (@elerianm) December 6, 2022
Mohamed El-Erian is the Chief Economic Adviser of Allianz, a multinational financial services company. He is the former CEO and co-Chief Investment Officer of PIMCO, a global investment firm and one of the world’s largest bond funds in the world. Dr. El-Erian also served as a member of the faculty of Harvard Business School. Before joining PIMCO, Dr. El-Erian was a managing director at Salomon Smith Barney/Citigroup in London and before that, he spent 15 years at the International Monetary Fund in Washington, D.C. His latest book is The Only Game in Town: Central Banks, Instability, and Avoiding the Next Collapse.