Long time readers of GuerillaStockTrading know I have a reverend place in my head for the folks at BlackRock. BlackRock’s performance over the decades has been nothing less than astounding. When BlackRock speaks, we need to listen.
BlackRock’s Rick Rieder told CNBC that because the U.S. dollar is the world’s reserve currency, there is not going to be runaway inflation that gets away from the Fed.
Most fascinating was Mr. Rieder’s assertion that even though U.S. debt has crossed about GDP for the first time since World War II, the U.S. can raise debt even more without problems. In fact, we have pension funds that need guaranteed investment vehicles and U.S. debt auctions give pension funds the opportunity to do just that.
“I think the U.S. has a series of tools that can actually absorb more debt, but there’s a limit,” BlackRock’s Rick Rieder told CNBC’s Becky Quick on Friday.