As political pressure on the US Federal Reserve intensifies in Washington, the reverberations are rippling across the globe. Gregory Peters, co-chief investment officer of fixed income at PGIM, has noted that bringing political pressure to bear on the Fed is an “own goal” – a self-inflicted shock that erodes confidence and is unlikely to deliver lower borrowing costs for the US.
This reassessment – marked by quiet “sell America” trades – is beginning to surface.
The damage extends far beyond…
Why the Fed credibility crisis will hit emerging markets harder
