El-Erian: Central Bank Community Becoming Less Effective

The video discusses the implied probability of rate hikes and the market's reaction to the Federal Reserve's data dependency. It questions the effectiveness of central banks like the Fed, BOJ, and ECB in influencing markets and highlights the need for a global rethink on low interest rates. The discussion emphasizes the limitations of central banks in stimulating economies and the necessity for fiscal policy and structural reforms to support economic growth.

What challenges do central banks face in stimulating economies that are experiencing structural headwinds?

What role should fiscal policy and structural reforms play in conjunction with central bank actions?