US not out of the woods when it comes to inflation – risk the Fed is higher for longer

<p>Apollo Global Management Chief Economist Torsten Slok says he expects interest rates to remain higher for the next several years.</p><p>He spoke with Bloomberg TV. </p><ul><li> “Maybe the Fed swung the pendulum too much in the dovish direction,”</li><li>Fed pivot has eased financial conditions dramatically</li><li> he pivot might actually be boosting the
housing market, the labor market, services
inflation, goods inflation … we are not out
of the woods when it comes to battling
inflation</li><li>the bottom will still be
around 3.5 – 4% so one very
important conclusion for asset
allocation is that we are not going back
to zero we have still higher for longer</li></ul>

This article was written by Eamonn Sheridan at www.forexlive.com.