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The Federal Reserve is finally declaring war on inflation.

Yesterday, Fed Chair Jerome Powell announced that — to fight the inflation it has played a central role in creating — the Federal Reserve will accelerate its tapering program and likely hike interest rates three times in 2022.

That’s a 180-degree reversal of the Fed’s rampant bubble-blowing policies over the past decade.

This will have HUGE repercussions for the financial markets.

Because the key drivers of asset prices over the past decade — $trillions in stimulus, buybacks funded by dirt-cheap debt, low inflation — are all coming to an end.

Which is why Steen Jakobsen, manager of $billions in client assets at Saxo Bank, predicts 2022 will be a much more volatile year than investors are used to.

And we should listen to him. One year ago on this program he boldly predicted we’d see a surge in both inflation and commodity prices in 2021 — and boy, was he ever right.

In this new interview, Steen shares his macro outlook and top predictions for 2022 (spoiler alert: he expects inflation to run even hotter next year…)


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