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Markets may be under-estimating impact of Fed tightening

Finance veteran says US is likely to raise short-term rates several times in coming year

Mr Dallara said another prospective threat that markets may be under-estimating is the possibility of inflation being reignited, especially in the US and Britain. He added that distortions unconventional monetary policy have created in global financial markets are a matter of "serious concern".


THE US Federal Reserve is likely to raise short-term interest rates several times over the coming year and markets may not have priced this fully into their calculations, says Charles Dallara, a leading financial industry figure, who warns that events could trigger market turbulence...