BNTX - Mohamed El-Erian On Yield And Oil Price Drop: Economic Boon Or Major Downturn Ahead? | Benzinga
What Happened: Notable economist Mohamed El-Erian took to Twitter on Tuesday to highlight the recent downturn in yields and oil prices. He notes that this trend could be beneficial for the economy and most financial asset classes. However, he cautions that these advantages may be offset if they predict a considerable economic slowdown.
El-Erian’s tweet comes at a time when financial markets are experiencing significant shifts. He emphasizes the “important cause/effect qualification,” suggesting that the positive impacts hinge on whether the declines are not foreshadowing a major economic downturn.
The significant November move down in both yields and oil prices, which is continuing today, is helpful for both the economy and most financial asset classes …with an important cause/effect qualification: that their impact is not overwhelmed by them ending up as an accurate… pic.twitter.com/Iv43wBLLic — Mohamed A. El-Erian (@elerianm) November 7, 2023
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