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BlackRock investors: Higher interest rates could make it harder for the Federal Reserve to achieve its 2% inflation target

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2024-05-18 12:26:52
BlackRock's Rick Rieder, who oversees global fixed income and global asset allocation, pointed out that while CPI indices have performed well this week and inflation may be falling, he believes that this is "a golden age for fixed income, not because interest rates will fall, but because you can make a lot of money in your portfolio."
At the same time, ironically, he wonders whether persistently high interest rates will make it harder for the Federal Reserve to achieve its 2% inflation target, given the vast amount of money it puts into the hands of high-income households.
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