image credit: Pixabay

U.S. inflation could hit 3% or 4% by the middle of 2022, veteran strategist warns

April 21, 2021


More and more strategists believe investors are underestimating the outlook for consumer prices.

David Roche, president of investment firm Independent Strategy, is among them. He told CNBC on Wednesday that the U.S. inflation rate, which stood at 2.6% in March from a year earlier, could rise much higher.

“My own view is that we will see inflation of probably 3 or 4% by the middle of next year and that is completely inconsistent with, say, U.S. 10-year bond yields being at 1.6%. That yield could easily double, and when it does, then you come to the crunch point that markets are going to experience,” he told CNBC’s “Squawk Box Europe.”

Read More on CNBC