Nouriel Roubini in an op-ed.

Roubini teaches at New York University's Stern School of Business and has earned the moniker 'Dr. Doom'. It may well be his time.

Main points:

  • "During the Great Stagflation, both components of any traditional asset portfolio — long-term bonds and US and global equities — will suffer, potentially incurring massive losses,"
  • Global economies carry larger debt ratios than before, setting up central banks for potential failure, Roubini said. "Central banks are thus locked in a 'debt trap': any attempt to normalize monetary policy will cause debt-servicing burdens to spike, leading to massive insolvencies, cascading financial crises, and fallout in the real economy,"

Full piece is here

and here is a summary article more easily digestible.

roubini 10 August 2022