During his Fed term, he raised interest rates to 6 percent, without recession in the world’s largest economy.
Greenspan doubts that the scenario will be repeated once more, and is likely to enter US economy In recession due to the anti-inflationary steps that the Fed is currently taking by tightening monetary policy.
Data in the last two months showed that prices began to cool off United StateHowever, it is news "Good is not enough" From the point of view of Greenspan, he is the economic advisor in the company "Advisors Capital Management".
He said that the decline in prices is not enough to push the Fed to reverse its hawkish policies to avoid entering a recession.
The US Federal Reserve raised interest rates 7 times during the year 2022, until they reached the level of 4.25 to 4.50 percent, which is the highest rate since 2007.
Fed officials still expect another percentage point hike this year, according to the Fed’s December meeting minutes.
Greenspan does not expect the Fed to reduce interest rates now, indicating that a similar step may contribute to raising inflation once more and returning to square one, as he put it.
Greenspan also expects that 2023 will bring good news for investors, saying that the movements in the markets will not be "anarchism".
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Greenspan took over US Federal Reserve In the period from 1987 to 2006.
During his Fed term, he raised interest rates to 6 percent, without recession in the world’s largest economy.
Greenspan doubts that the scenario will be repeated once more, and is likely to enter US economy In recession due to the anti-inflationary steps that the Fed is currently taking by tightening monetary policy.
Data in the last two months showed that prices began to cool off United StateHowever, it is “not good enough” news, according to Greenspan, an economic advisor at Advisors Capital Management.
He said that the decline in prices is not enough to push the Fed to reverse its hawkish policies to avoid entering a recession.
The US Federal Reserve raised interest rates 7 times during the year 2022, until they reached the level of 4.25 to 4.50 percent, which is the highest rate since 2007.
Fed officials still expect another percentage point hike this year, according to the Fed’s December meeting minutes.
Greenspan does not expect the Fed to reduce interest rates now, indicating that a similar step may contribute to raising inflation once more and returning to square one, as he put it.
Greenspan also expects that 2023 will bring good news for investors, saying that the movements in the markets will not be “chaotic”.
