Reported 11 months ago
America's high interest-rate regime is diverging from the rest of the world and could create economic chaos globally. This scenario may lead to increased volatility in markets, affect financial conditions around the world, and challenge central banks' coordinated efforts to balance inflation and recession risks. The article discusses how the US's interest-rate policy may disrupt the flow of cash, trigger carry trades, impact different economies, and complicate efforts to address inflation. The potential consequences include challenges for economies, currency fluctuations, and liquidity issues, emphasizing the need for vigilance and potential adjustments in monetary policies to achieve a smooth economic recovery.
Source: YAHOO