UBS CEO Sergio Ermotti during the annual meetings of the IMF and World Bank in Washington, DC, onOct. 23, 2024.
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An expected decline in interest rates could be stalled if the prospective tariffs of Donald Trump’s second White House administration bleed into markets and shore up inflation, UBS CEO Sergio Ermotti warned Tuesday.
“Something that I’ve been saying for a while, inflation is much more sticky than we have been saying,” he told CNBC’s Andrew Ross Sorkin. “The [truth] of the matter is that we need to see also how tariffs will play a role in inflation.”
“Tariffs will probably not really help inflation to come down. And therefore I don’t see rates coming down as fast as people believe, he said.
This breaking news story is being updated.
