Roubini was speaking with Bloomberg TV on Friday. Says that if economic data points towards weakness and central banks keep raising rates then H2 could bring a 10% 'correction' for stock markets.
- a 10% correction is not "totally unlikely"
- "With core (inflation) being still high in the U.S., UK, Europe, and central banks hiking somehow more, I would not be surprised within the second half of the year to get the 10% correction in global equity markets,"
On China:
- growth now expected to be around 3% to 4%
- China is prioritising security control over opening up and reforms
- " ... in China, the reduction in growth is not cyclically structural; it has to do with the aging of population, debt and leverage, housing overhang, state capitalism, a backlash against the private sector, the difference in sentiment of household and the corporate, geopolitical depression, the policies that are effectively Marxist-Leninist of Xi Jinping and so on"
Xi and Putin
