Mohamed A. El-Erian , Columnist

Markets Are Tempted to Renew Pressure on the Fed

The challenge for investors continues to be how best to capture short-term upside while protecting against longer-term uncertainties.

November 26, 2019 at 12:32 AM UTC

By Mohamed A. El-Erian

Mohamed A. El-Erian is a Bloomberg Opinion columnist. A former chief executive officer of Pimco, he is president of Queens’ College, Cambridge; chief economic adviser at Allianz SE; and chair of Gramercy Fund Management. He is author of “The Only Game in Town.”

The last thing the Fed, or any central bank, wants is to be placed again in a lose-lose situation.
Photographer: Andrew Harrer/Bloomberg

Provide news feedback or report an error

Site feedback:

Take our Survey

This article is for subscribers only.

The markets and the Federal Reserve have been engaged in a peculiar dance over the last year, with a large initial mis-alignment over the two parties’ interest-rate expectations having given way to a truce that could now be put at risk due to increasing market pressure on the central bank to cut rates.

The evidence for growing market discomfort with a Fed on hold includes, but isn’t limited to: