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More ‘Tantrums’ Likely as Fed Tightens, India’s Rajan Says

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Indian central bank Governor Raghuram Rajan warned of more volatility in global financial markets on par with the so-called “taper tantrum” in 2013 that sent the rupee in a tailspin.

“With the back-to-back quantitative easing stimulus programs by other major central banks, alongside possible tightening by Fed, what we have seen might be only one of a series of ‘tantrums’ that the global financial markets are likely to witness,” Rajan wrote in a forward to the Financial Stability Report published by the Reserve Bank of India.