Allianz chief economic adviser Mohamed El-Erian said in an interview on Fox News and an op-ed in Bloomberg on Nov. 28 that the emergence of the Omicron variant of the CCP (Chinese Communist Party) virus has revived market fears of stagflation. “Faster inflation is a given,” El-Erian, who also serves as President of Queens’ College, Cambridge,…
China Faces Stagflation, Caused by CCP Policies
News Analysis The Chinese economy appears to be heading for one of the worst possible conditions: stagflation. And the Chinese Communist Party’s (CCP) poor policymaking is to blame. Manufacturing output is down, and China is plagued by fewer new orders for the next quarter, as well as power outages, food shortages, ongoing COVID-19 lockdowns, tighter…
Stagflation Concerns Split Wall Street as US Economy Slows
News Analysis Wall Street is split on the U.S. economy possibly facing a stagflation threat in the post-pandemic recovery. Stagflation—a trifecta of slowing economic growth, rising inflation, and high unemployment—is the talk of the finance industry. Goldman Sachs analysts recently revealed that stagflation is “the most common word in client conversation.” The widespread discussions come…
The Wheels Are Coming Off the Biden Economy
Commentary A good friend who owns a major auto dealership in the Dallas area recently told me he typically has about 500 to 1,000 cars and trucks on his lot. Now, he has 15. That’s how severe the supply chain problem has become. He said people are buying cars over the sticker price. You usually…
Social Security Announces Largest Benefits Increase Since 1982
As inflation continues to climb, the Social Security Administration (SSA) has announced that social security recipients will see a 5.9 percent increase in their benefits, the largest such increase since 1982. The SSA has historically adjusted benefits to account for inflation, but these have often been minor, granting beneficiaries a one or two percent increase….
Stagflation ‘Just Around the Corner’: Grassley
Sen. Chuck Grassley (R-Iowa) took to Twitter to warn that President Joe Biden’s economic policies will have an effect closer to the stagflation of President Jimmy Carter than to the New Deal of President Franklin Roosevelt (FDR). Grassley wrote on Twitter that “Biden dreams of being [the] next FDR.” FDR’s New Deal policies, which pushed federal…
As Inflation, Oil Prices Keep Rising, Is Stagflation Next for Canada?
With soaring energy prices, the more troubling economic prospect of stagflation reminiscent of the 1970s has entered the discourse in financial markets
Stocks and Bonds Reel Under Stagflation Threat
LONDON—A selloff in global stocks extended into Tuesday on signs that soaring energy prices had put a dampener on economic growth, while inflation and policy-tightening fears sent short-dated U.S. Treasury yields to 18-month highs. Oil prices rose further, with Brent crude at almost $89 a barrel. Coal has scaled record peaks and, while gas prices…
Stagflation Fears Stalk Shares, Rising Yields Lift Dollar
LONDON—Stagflation jitters stunted growth in global shares on Monday, while bets that major central banks will tighten monetary policy pushed up bond yields and lifted the dollar to a near three-year peak against the Japanese yen. Brent oil prices extended their bull run to reach ground last visited in late 2018, with gains across the…
Shares Climb Again as Energy Price Dip Eases Stagflation Fears
LONDON—World stock markets got their foot back on the gas on Thursday as hopes grew that Washington could resolve its debt-ceiling squabbles and a global drop in energy prices tempered deepening fears of “stagflation”. Europe’s bourses rallied off 2–1/2-month lows as easing oil and gas prices offered relief after a shock 4 percent drop in…
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