Bloomberg TV Markets and Finance
Published on Oct 16, 2017
Oct.16 — The Black Monday crash was 30 years ago this week. “Black Swan” author Nassim Taleb was a trader for First Boston at the time. He made a lot of money while others lost fortunes. He recounts the experience with Bloomberg’s Erik Schatzker.
The Federal Reserve faces a “very tough” task in normalizing monetary policy, as it has limited tools at its disposal after years of near-zero interest rates, academic and writer Nassim Taleb said Friday.
“The Fed is like a huge army with very sophisticated equipment and no ammunition,” he said in a CNBC “Power Lunch” interview.
“They inherited that big machine without weapons. They realize that interest rates at zero is not something normal. And there’s no evidence that zero interest rates is better than 3 percent. But how to get to that normal level is going to be a very, very tough task for them,” the author of “The Black Swan” said.
