Bloomberg Talks Gary Cohn Talks Fed Chair, US Economy
Jan 20, 2026
Gary Cohn, IBM vice chairman and former Director of the National Economic Council, shares his optimistic view on the US economy, highlighting strong GDP growth despite geopolitical tensions. He addresses the 'Sell America' trade as a modest reallocation rather than a panic sell-off. Cohn also discusses the significance of choosing a Fed chair aligned with presidential priorities and the impact of AI on capital expenditures. His insights blend market trends with personal anecdotes from his trading floor days, offering a seasoned perspective on economic challenges ahead.
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Greenland As Geopolitical Negotiation
- Gary Cohn argues Greenland talk may be a negotiating posture tied to strategic and resource interests.
- He says U.S. growth (5%+) and geopolitical risk explain market volatility and future upside once risks fade.
Sell-America Is Edge Trimming, Not Liquidation
- Cohn describes a temporary 'sell America' reallocation by global funds but says it is limited to trimming allocations.
- He expects AI and strong U.S. GDP to draw investors back once geopolitical risk eases.
Vet The Fed Chair's Mindset Carefully
- Consider the Fed chair's mindset and policy mandate before appointment because the Fed is independent.
- Ensure the president feels comfortable with long-term interest-rate direction since day-to-day control ends after appointment.