23rd December 2021

Central banks in modern times have often been lauded for their swift and decisive actions in keeping the
financial system afloat in the face of unprecedented crises. The adulation, however, has dried up in recent
times as inflation has begun to bite. Some analysts, such as Allianz Chief Economic Advisor Mohamed El
Erian, have gone as far suggesting that the Fed’s recent characterization of inflation as “transitory” is
probably the worst call in their history. Strong words indeed. There have of course been a number of
unsuccessful forecasts made by Central Bankers over the years, many of which have resulted in particularly
bad economic outcomes. While it is perhaps too early to tell where Powell 2021 sits in this pantheon, at the
very least it is only fair to point out that he is in very good company. Rubrics take a look at some of the
most questionable decisions made by his predecessors, many of which continue to shape the
monetary landscape today.


For more information please contact Rubrics Asset Management. info@rubricsam.com.