Morgan StanleyJames Gorman, chief executive, said he expected the Fed to start scaling back its bond purchases by the end of the year and raise interest rates in early 2022, well ahead of market expectations.
"I personally think interest rates are likely to rise early next year, rather than the 2023 currently forecast by the market," Gorman said at an online meeting in Tokyo on Tuesday. "regardless of the economic data, the Fed will be driven by these data. Of course, I'm just expressing my opinion. "
Gorman said the Fed remains cautious and believes there will be no long-term inflationary pressures. But signs of inflation are rising, he said.
He also pointed out, "after years of no inflation, we have clearly seen a rise in prices." This is starting to attract people's attention. "