El-Erian Says Jobs Data Raises Probability of 25Bps Fed Move in May

Mohamed El-Erian, chief economic adviser at Allianz and Bloomberg Opinion columnist, says the stronger-than-anticipated US jobs report increases the probability of a Federal Reserve interest-rate hike in May. "The CPI number is going to be important, but given this, this does not justify a pause," he says on "Blomberg Surveillance."

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[KungPowEnterFist]

As long as the job market is not falling apart, the Fed has the green light to hike interest rates as long as the funds rate is below the CPI YOY rate. So unless we have a massive move down in CPI next week, I would say 25bps is in the bag.

[Solairethedarksoul]

The king of making stats sound important. Follow the price action.

[fhowland]

They should raise by 2.5% not .25%. The inflation fight is a total charade

[jimbojimbo]

What’s the point is minor uplifts in interest rates and not do 0.5% or 0.75%

Pain will happen you’re just elongating it

[jkim]

There are so many delayed construction projects on going right now due to Covid. That is leading to labor market strong at the moment but if you check when those projects were financed, it is highly likely that labor market data will be deteriorated significantly with in few months. There is big problem in commercial real estate market and PF loans are shrinking rapidly. Labor data will be hampered in few months.

[rammanohar]

Enough of these 25's . We should do another 75

[schopen-hauer]

interest rates are a joke, what does it matter if they raise to 6% if inflation is 7% and the bail outs and monetize the debt ever single day?

[yoyonaught]

Unemployment going down is not good news

[stevenhudson]

Most rich people stay rich by spending like the poor and investing without no stopping then most poor people stay poor by spending like the rich yet not investing like the rich but impressing them

[redsealjourneymanreviews]

Hate it when they say this is good for stocks. Stocks are a construct, should be saying good for companies

[georgephchen]

This jobs data support short term higher stock prices!! Buy the dips on coming Monday, folks!! New bull market. Lets make some more $$, yes!!

[tedstriker]

Should be 75 bps plus QT they are back to their old ways with QE 800b. Fix inflation now or be replaced Fed!

[minionmememindset]

Where did those WWII-era mics come from? “A day that will live in infamy”. Bloomberg will have everyone wearing medieval armour next.

[praveenspike]

Fed will raise, the reserve currency around the world in 2022 was 7.9 trillion, with the current labor market and the reserve currency in the world which has come down to 6.6 trillion. There is no possibility for the Fed to pause.

[yusufozarslan]

IT'S GOOD TO HAVE A DIVERSIFIED PORTFOLIO, FIRST YIELDS AND GOLD AND NOW STOCKS PROTECT MY PORTFOLIO.

[danielhutchinson]

El Erian said the Fed should have raised rates when they were still saying
Look at the FED
Enough Egg on the face for an

[gainer]

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[Arteshir]

Title misleading and lame 25 bps in which direction?

[supadave]

El Bearian's back with a healthy scoop of fear for your portfolio

[UziGameGP]

El bearian crying his bear tears again