Pimco's Fels Sees U.S. Recession Risks Under Trump

The video discusses the economic uncertainties of 2017, focusing on the impact of the US election and Trump's policies. It highlights the potential for a recession due to protectionist measures and fiscal policies. The discussion also covers the effects of negative interest rates in Europe, the ECB's stealth rate cut, and the ongoing currency war. The video concludes with an analysis of the bond market and interest rate hikes by the Fed, predicting a steepening yield curve.

What is a significant factor contributing to the economic uncertainty in 2017?

• The decline in oil prices

• The rise of new technology

• The US election and its outcomes

• The stability of the global economy

What is one potential risk associated with Trump's economic policies?

• Increased global cooperation

• A balanced budget

• A trade war with China and Mexico

• Lower interest rates

What could be a consequence of Trump's fiscal policy by 2020?

• A balanced trade deficit

• A recession due to aggressive rate hikes

• A reduction in unemployment

• A decrease in inflation

What was the ECB's action that affected interest rates in Europe?

• Increasing the deposit floor

• Implementing a stealth rate cut

• Raising interest rates

• Reducing bond purchases

What is the expected effect of the ECB's actions on the euro?

• Depreciation of the euro

• Appreciation of the euro

• No effect on the euro

• Stabilization of the euro