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A Higher Nominal Growth World Brings Higher Volatility, Says Jim Caron

Bloomberg Markets Monday 10 August 2026, 16:03 UTC 1 min read
Key Points

Market and policymaker discourse over the next move for the Fed is split: One camp believes the central bank needs to assert its commitment to price stability by hiking in September, particularly to recover some of Chairman Kevin Warsh’s inflation-fighting credibility. Another thinks that price gains are on the way down and the Fed is correct to stay its current course. Jim Caron, CIO of Cross Asset Solutions at Morgan Stanley Investment Management, discusses the shift toward higher nominal...

Market and policymaker discourse over the next move for the Fed is split: One camp believes the central bank needs to assert its commitment to price stability by hiking in September, particularly to recover some of Chairman Kevin Warsh’s inflation-fighting credibility. Another thinks that price gains are on the way down and the Fed is correct to stay its current course. Jim Caron, CIO of Cross Asset Solutions at Morgan Stanley Investment Management, discusses the shift toward higher nominal growth and how the Fed is set to respond to this week's inflation data. (Source: Bloomberg)
Jim Caron Market (PERSON) Fed (ORG) Kevin Warsh (PERSON) Jim Caron (PERSON) CIO of Cross Asset Solutions (ORG) Morgan Stanley Investment Management (ORG) Bloomberg (PERSON)
Originally published by Bloomberg Markets Read original →

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