Bob Michele from JPMorgan Asset Management suggests Fed may need to push the economy into recession before cutting rates. Bill Dudley criticizes the Fed's proposal to increase capital requirements for major banks. Greg Boutle explains why he abandoned his 11% drop prediction for the S&P. Francisco Blanch sees Brent Crude at $90 next year. Bhakti Hansoti compares Covid to the flu.
The Fed may have to induce a recession before considering rate cuts.
Clear communication and messaging from the government are crucial to build confidence in the COVID-19 booster program.
Deep dives
Boosting Confidence in Booster Shots
Booster shots for COVID-19 vaccines are safe and effective, similar to other routine booster shots like tetanus. Clear communication and messaging from the government, including clear recommendations and reasons behind them, is needed to build confidence in the booster program. Adequate supply is also necessary to ensure easy access to the vaccine.
Driving Factors of Rising Oil Prices
The current rise in oil prices can be attributed to factors such as production cuts by Saudi Arabia and Russia, as well as refining issues. While Saudi Arabia aims for higher prices, they are cautious not to cause demand destruction. China's demand for oil remains relatively healthy, supporting the market. A balanced approach to supply and economic factors is essential in determining future price movements.
Boosters and Vaccines
MRNA booster shots are safe, fully approved, and not significantly different from other routine booster shots. The approval process ensures their safety and effectiveness. Clear communication about their benefits and the logistical aspects of the booster program is crucial for public understanding and participation.
Importance of Clear Messaging and Science-Based Policies
Clear messaging and policies based on scientific evidence are necessary to build confidence in the COVID-19 response. A transparent dialogue that involves public input, clear explanations of recommendations, and proactive logistics planning will help ensure a successful vaccination campaign.
Bob Michele, JPMorgan Asset Management CIO & Global Head of Fixed Income, Currency & Commodities says the Fed may have to tip the economy into recession before cutting rates. Bill Dudley, Former New York Fed President & Bloomberg Opinion Columnist criticizes the Fed's proposal to increase capital requirements for the biggest banks. Greg Boutle, BNP Paribas, US Head Of Equity And Derivative Strategy explains why he ditched his call for an 11% drop in the S&P this year. Francisco Blanch, BofA Global Research Head of Global Commodities & Derivatives Research says he sees Brent Crude at $90 next year. Bhakti Hansoti, Johns Hopkins University Associate Professor of Emergency says Covid is similar to the flu. Get the Bloomberg Surveillance newsletter, delivered every weekday. Sign up now: https://www.bloomberg.com/account/newsletters/surveillance