Rates, Yields to Stay Higher for a Long Time, Harvard’s Rogoff Warns

  • Ex IMF official says ‘economy is adjusting’ to rise in rates
  • Fed has a “fight ahead” to anchor inflation expectations

Kenneth Rogoff

Photographer: Jason Alden/Bloomberg
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Former International Monetary Fund Chief Economist Kenneth Rogoff expects bond yields will remain at elevated levels for a long time and warned the Federal Reserve “still has a fight ahead” to anchor inflation expectations.

“I’m definitely in the school that rates will stay high for as far as the eye can see,” he said in an interview with Bloomberg Television’s David Westin and Romaine Bostick for Wall Street Week. “It seems the fundamentals point to having higher interest rates for a long time.”