Loic Fery Says Fundamentals Are Fine, Markets May See a 'More Severe Correction'

The video discusses market volatility observed in early February, highlighting concerns about excessive valuations and liquidity issues in credit markets. It examines inflation trends from 2017 to 2018, noting a shift from downside surprises to upward pressures, particularly in the US. The discussion also covers the Federal Reserve's stance on inflation and interest rates, emphasizing the potential for a more hawkish approach if inflation nears target levels.

What does the text suggest about the growth and inflation mix in the economy?

What potential actions might the Fed take in response to rising inflation according to the discussion?