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Higher Treasury yields, the Federal Reserve, and inflation have all been trending topics in the world of finance. But what impact will this have on the economy and the average American’s pocket? Allianz Chief Economic Advisor Mohamed El-Erian sat down for an interview with Yahoo Finance’s Julie Hyman to discuss what he wants to hear from Fed Chair Jerome Powell, the Fed’s inflation target, and more.Regarding the impact of higher Treasury yields, El-Erian said, “the biggest concern out there is the violency of the move … there’s a fear, and I hope it’s just a fear, that this could break something.”El-Erian, who also serves as the President of Queens College, Cambridge, believes that “we are at two points of inflection here, a technical point and an economic point.” El-Erian would like the Fed to “create a vision” and thinks they are currently “all data dependent.”El-Erian thinks that the Fed has the “wrong inflation target,” which could result in the Fed “scrambling to play catch up.” El-Erian added, “the outlook for the economy weakens, which means income becomes an issue … We have these genuine uncertainties about monetary policy going forward.” …
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