Economics
UBS CEO Warns of ‘Dangerous’ Bubbles Spurred by Central Banks
- Ermotti says prices are uncorrelated with investor sentiment
- Bright spot is that clients say they’re ready to buy the dips
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UBS Group AG’s chief executive officer is sounding the alarm on fresh monetary easing just as European policy makers appear poised to deliver another helping to stimulus-hungry markets.
“I’d be very, very careful about growing further the balance sheet of central banks,’’ Sergio Ermotti said in a Bloomberg TV interview on Tuesday, ahead of the European Central Bank’s policy decision this week. “We are at a risk of creating an asset bubble."