Goldman Sachs chief executive David Solomon has warned investors not to get too confident that the Federal Reserve can engineer a “soft landing” for the US economy in its battle to tame inflation.
Speaking at an industry conference organised by UBS on Tuesday, Solomon said “the world is set up for a soft landing”, but there was a “higher level uncertainty” due to remaining inflationary pressure in the economy and geopolitical risks.
“The market is way weighted to a very soft landing. And when you look at the pattern of facts the last three or four years, it’s hard for me to see it’s going to be that simple,” Solomon said.
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