El-Erian Sees Stagflation Scenario for US Economy

Mohamed El-Erian, a Bloomberg Opinion contributor, says "notably low" US economic growth will lag below the level needed to offset the impact of ongoing inflation. "That's too low for the stage of where we are in the economy, " he says on "Bloomberg The Open." El-Erian's opinions are his own.

[@mand1009]

Brilliant Mohd E.E always have the truth.

[@MomoDojo]

lol he bats like .200. If you listened to him you would have gone short summer, 2020.

[@MMAjsf7]

He’s the guy I listen to

[@Futurama10000]

@@MomoDojo fax, he can talk about a lot of hypotheticals but isn’t right all the time. People gotta look at many viewpoints

[@marybusch6182]

I listen to him, Steve Keen, Michael Hudson, and of course Michael Lewis... and Ellen brown... most others are just used car salesmen trying to keep their aspirational lifestyles....

[@devendrakumardave]

El-Erian always teaches me something.

[@JohnDoe-lc9yj]

Dude was made to understand this market.

[@byofski]

he needs a youtube channel

[@aai2184]

Great interview!

[@eventhisidistaken]

The difference between today and the 70s, is that in the 70s, debt/gdp was a manageable - 35%. Today, it's roughly 130%. That severely limits what can be done. Rock, meet hard place.

[@Potatowarrior89]

One of the wisest and rationale expert in the market

[@keithrodgers1030]

Stagflation is in most countries, the governments around the world are stuck between a rock & a hard place. Workers have had very little in terms of wage increase’s so is there any wonder they have stopped buying stuff ??

[@slslbbn4096]

Watch and learn. Our corrupt corporate controlled regime are going to hike interest rates and steal the homes and wealth of the American people. And you still believe we live in a democracy?

[@ironwilliam7760]

The best voice from the street.

[@farmerdude3578]

The US economy is slowing? More like shrinking. Negative gdp and budget deficits up.

[@xgio]

EXACTLY.

[@keithrodgers1030]

Consumption has stopped just about everywhere, workers & pensioners are broke. Greed by businesses got us here and they need to cut margins and no more government support / handouts.

[@cassinitakano5736]

that's only this quarter

[@cassinitakano5736]

@@xgio exactly my ass.

[@aaronclouse7634]

@@keithrodgers1030 greed by businesses? Producer prices are up more than consumer prices. So businesses are being hurt more than consumers. The reason we are here is because of the most irresponsible combination of monetary and fiscal policy where we ran massive budget deficits and gave out trillions of dollars to people while the federal reserve monetized all the government debt. It's the fault of governments and central banks, not businesses

[@wadems]

Always insightful commentary from El-Erian.

[@AJ-iu6nw]

PAGING SEAN YUN

[@tippa591]

Only guy that always talks the truth. Let him run the FED 😂 Jay Powell's a puppet master

[@silverufo6735]

Sorry if you think Powell is the puppet master your mistaken, he’s only another puppet

[@eyelovecolorado2195]

I’ve been saying that for almost a year now. Honesty is the best policy. Powell has been hiding the truth to keep his job!!

[@jonasscheuer7639]

How can you watch financial news regularly and say something that far from reality about politics. If El-Erian was FED chair and said everything like he did here, markets would panic/crash/rallye immediately in a violent way. "Speaking the truth" is a guaranteed way to cause panic and uncertainty. Thats not how you run a global institution. Youd be wondering yourself, if El-Erian would be FED chair, he would behave just as JPOW would.

[@tippa591]

@@jonasscheuer7639 he probably would act like j Powell😂👍 This bubble needs a crash in my opinion, nothing really broken yet, and every one is still living in FED bubble land. It has to stop. Or my kids will end up living with another crash much worse. Enough is enough. It's going to bad enough when they print more a end the US dollar. They will pivot at 2% . No fucking way they can fight inflation, it's all a lie

[@bradleyqueen3879]

@@jonasscheuer7639 I tend to agree. I believe no one truly wants to fix anything. Just do enough to keep things from falling apart.

[@phildurre9492]

ppi is a leading indicator yes, but it is also the less rigged number. Another reason it is higher than de CPI

[@shitmypants5275]

It doesn't get enough attention tbh

[@Prediculous]

Cpi has been garbage forever. Ppi is much better, although still too broad to really take clear conclusions from. Ideally, high frequency data would be a stronger indicator

[@Alex-hx8wz]

Yea the ppi tells me unequivocally that we are totally fvcked

[@alexi2460]

Stag, fancy word for major recession. How long can we pay for petro, food and services. Renters are being ripped off. Next year everything will be on sale to prevent depression

[@jonasscheuer7639]

renters are being ripped off ? In this inflationary environment, I love being a renter. Sequence of return risk. Cash is trash.

[@TheDayFamilyVlogs]

@@jonasscheuer7639 cash is trash... yet everything is tied to cash.... weird.

[@babyboo7741]

Good news 🤩🤩

[@qualquan]

No bulls left. Everyone is a frightened bear. GOOD

[@keithhuxley1810]

If were in such a state of financial events then why is the Fed state govt's noy laying off! they produce very little that we need

[@silverufo6735]

It’s the blind leading the blind, M2 should be expanding at 5% for inflation to be at 2%, M2 is currently expanding at 20%.

[@kaskoosek]

Yes, but they entered into the equation the money multiplier. I think that the money multiplier is an overrated metric. Because you will always have inflation seeping even if the multiplier isnt that high.

[@rickydas9779]

M2 has been flat to down since Jan 2022

[@kaskoosek]

@@rickydas9779 yes since jan 2022, im thinking inflation has abated. And the fed at least popped the crypto bubble to a degree.

[@jeffreymarshall4572]

The Fed can either choose jobs and high inflation OR high jobless and lower inflation. Or more likely they split the difference = stagflation.

[@dharmadefender3932]

Smash the housing market? 2007-2008. Do nothing? 1970s style inflation. That's basically it. It's Powell's move.

[@JohnDoe-lc9yj]

No, the Fed cannot choose. That's the problem.

[@dharmadefender3932]

@@natoslayer2907 Highly highly unlikely.

[@bonnier7746]

Need more MARGIN CALLS!! ☎️

[@AMITLIKEU]

Stagflation will be common in many countries

[@yourbettingassistant7985]

El-Erian, never forget he said we were not out of the woods on 1st April 2020 when SPY was at $245 a pop lol what a nugget

[@johndinglebery7983]

70's are back.

[@williamc4221]

What is he talking about? PPI data were, overall, better than last month.

[@kingkongo83]

PPI Ex food and energy MoM actual was 0.4% vs BBG est. 0.7% tho… just saying

[@rosenasser5943]

PPI is a leading indicator of CPI numbers. CPI numbers will reflect an 11% inflation rate soon. The really sad thing is an 11% CPI-U inflation rates is really a 22% inflation rate if we were using the True CPI measure of inflation as they did in the 1970's and 80's. The current CPI calculation is mitigated due to adjustments and substitutions from a COGI to a COLI. You better get used to high prices now and higher prices in the future. HyperStagflation!!

[@thechlorinator1803]

ohhhh shiiit, we're dead

[@khaledkais6044]

Raise the rates faster. Short term pain & long term gain

[@mxr572]

sharp money people will still be making money off the backs of the masses despite a poor economy.

[@libertyliberty3777]

Big big Question 🙋‍♂️ is who going pay the price 🔨🧏🏽🚓⛓🗡⚰️🚬🔔🕑

[@leinad5243]

More QE please Mr Powell

[@Gold-cb2pq]

Looks like he was right, a new inflation high today 9.1%.

[@mr3817]

PPI in Japan is 40%. JPYUSD to 200

[@Dooguy]

why dont more people just get in the s n p and ride it all out. whats wrong with 8-10% earning on your money?

[@donelpatterson9036]

* FFIE..Up 16 % Today.. Up 18 % Fri. Faraday Future FF 91 Ultra Luxury AI tech Zero Gravity Seats SUV EV July 2022.

[@silaakkidumma]

Mohammed is so happy in the Thumbnail..finally what he predicted got true after 15 YEARS 🤣

[@faramarzmokri9136]

El- Erie is a permanent bear. You don’t expect he ever changes his opinion. So when he comes on bear is getting lose.

[@srg6532]

Good year to sell in May and go away.

[@narcissisticcarnist5532]

I supposed the responsibility of controlling PPI , it's by private banks , instead of central monetary policy. However , federal reserve tools could be used for a bargain with banks , and provide private bank spaces for managing their business preference. The only certain mechanism that can be proved to be significant according to monetary policy. Other than doing something which we don't know the results , stick to something we actually can predict it's much more pragmatic.

[@joshm9163]

These guys have a different outlook every week

[@slslbbn4096]

The only thing that is constant is the eventual rate hike and the mass theft of the homes of the American people for the profit of our corrupt congressmen/senators and their oligarch corporate banking masters

[@silencedo-good6806]

Tiller

[@buffalobill3426]

This was known 1 yr ago

[@algofreak8510]

10 years of stagflation(recession). all set and checked

[@christopherrichardwadedett4100]

Not just stagflation: The work of the supervirus is not yet done.

[@Meatlayer2000]

Yeah so dangerous some people dont know they have it….

[@vitaliysurikov7363]

✌️ A dollar at 30 rubles is not profitable for us. We need a ruble at 30 dollars.🇷🇺

[@momos8166]

BUY ONLY BITCOIN AND ETHERUM AND HODL!STAKES!TEAM WORK GUYS,TEAM WORK!!!!!!!!!!!!!!!!!!!

[@illegalsmirf]

Be vewy, vewy afwaid.

[@geeussery8849]

Every body is buying Crypto, Gold, and Silver!

[@thomas316]

Fall behind the curve? Powell said this would all just he transitory. 😉

[@adventuresinthebay8487]

You can’t call low unemployment stagflation. It’s just inflation.

[@DiscipleofChrist33]

He’s saying the inflation will cause negative GDP and will pull us into a a recessionary environment, with rising unemployment and still high prices, therefore stagflation..

[@lareau6]

I tough inflation ajusted flat growth was stagflation

[@rabbitbobo4131]

Fromthe inflation data, i could not see stagflation. As inflation due to import will cause deflation in US, resulting in rapid withdrawn in vlaues and harsh unemployment. As US are services and consumer based, the restructure will cause the "value" to part, causing a lot of pain to the up-middle to lower classes of people.

[@sumitomoO0O]

venezuela is the next stop as example for US

[@ariannaramos9754]

El Doctor jirafales 😂😂😂😂😂

[@trollpolice]

Stocks, bonds, prescious metals, crypto, real estate are all crap. Where are the safe havens?

[@LRRPFco52]

Real estate is never crap, especially now with high demand and low supply.

[@dayneholt4149]

Cash & food.

[@flyingdutchman1352]

THANK CONGRESS, TRUMP + BIDEN

[@johnpatman4989]

Bloomberg rate this guy like a god haha

[@platoscavealum902]

👍ℹ️

[@criessmiles3620]

But the financials are investors to the stock market Through holding whether is in the USA , Europe or Asia So I respect his opinion But statement about it’s not in the banks is not accurate Take a look at past bank earnings and one will see the fact Cheers from west Africa 🦅

[@mmercato7174]

He is missing some important points ...🤔

[@ssjj005]

Like what?

[@fkrr5]

Joe Biden = Jimmy Carter

[@mohamedeldemery1647]

Waiting for the Nukes

[@hussienalsafi1149]

😊😊😊😊😊🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸

[@interpol9871]

Sell stocks buy real estate

[@brunoheggli2888]

realestate is shit to!

[@abcde1054]

LOOoOoOoOoOOOOL

[@WorkHarder14]

Real-estate is probably one of the most inflated assets right now.

[@interpol9871]

@@WorkHarder14 real estate will keep on going up until they get 6 million new units and I don't think it will happen anytime soon

[@interpol9871]

@@abcde1054 you can lol when your investment in stock go down by 40-80 percent and real estate will gain 20-30 percent YOY

[@chavruta2000]

wrong again.

[@magz875]

What is El Erian talking about? The economy is shrinking at well over 1% while inflation momentum is too high to even level off anytime soon. 'Violent Dragflation' not Stagflation whatsoever...

[@abijitpal4050]

U.S GDP 2035 73 trillion, largest & Biggest economics history, Round the world.

[@manthanpatel6295]

Which world are you living in ... usa economy not more the 35 t..

[@andromeda2766]

@@manthanpatel6295 probably talking about US debts LoL US has 30 trillion dollars debt

[@user-md5iv3jq6d]

[@suelypereira824]

[@user-md5iv3jq6d]

How do i reach her?

[@suelypereira824]

@Ash Hayden tell her i referred you.

[@user-md5iv3jq6d]

@Marcus Andrea, i will search her on google right away.

[@pamwright8795]

Wow I'm just shock you mentioned and recommended Expert Mrs Debra Dianne Brooks. Her strategies are top notch.

[@timmanto1022]

Hyperinflation by 2032.

[@10783247jp]

2025

[@cobicobi6417]

America may not even be around in 2032

[@timmanto1022]

True

[@dayneholt4149]

I think you may have meant 2023

[@donelpatterson9036]

Up 6 % Today. * IQST..IQSTEL EVOSS Electric Motorcycles Launched in 4 Countries. Fintech- Global Money One- Maxmo.

[@leinad5243]

IPP on the econ o me

[@larryadolf6992]

I’m of

[@susanlanez6918]

I am still learning from him, he is very experienced and with accurate prediction..

[@mahdiyehbahmani-yt7um]

How can I reach him? I need to start investing…

[@larryadolf6992]

[@adrianadestino6420]

Never missing out on an opportunity to grow my portfolio this year.

[@larryadolf6992]

Yeah, investing in Bitcoin will fulfill your needs..