'Sounds Familiar?' Mohamed El-Erian Calls Out Powell's Déjà Vu On Supply Shocks—Economist Draws Historic Parallels On Fed Chair's Latest Message

About 'Sounds Familiar?' Mohamed El-Erian Calls Out Powell's Déjà Vu On Supply Shocks—Economist Draws Historic Parallels On Fed Chair's Latest Message

Federal Reserve Chair Jerome Powell recently warned of the potential for more frequent supply shocks in the U.S. economy, presenting a tough challenge for central banks. Economist Mohamed El-Erian responded sharply, drawing parallels with historical economic periods such as the 1970s stagflation and recent COVID-era disruptions. El-Erian has consistently cautioned about risks from renewed tariffs and trade conflicts, which could lead to low growth and high inflation, putting central banks under pressure.