El-Erian Sees 'Rougher Water' Ahead for Markets

The video discusses capital allocation, focusing on growth differentials and investment strategies. It highlights the importance of understanding liquidity and credit-based decisions in volatile markets. The concept of overshoots is introduced as a key investment opportunity. The discussion also covers inflation-induced volatility and how market participants might react to upcoming data. Finally, it addresses the impact of past market excesses on current portfolios, emphasizing the need to adapt to changing liquidity conditions.

In what ways can inflation-induced volatility affect investment strategies?

What lessons can be learned from the underperformance of the NASDAQ this year?