According to Mohamed El-Erian, the Federal Reserve is trying to delicately reign in the easy money policy of recent years.
He believes that we are headed for the loosest tightening in the history of the Federal Reserve.
This will not be a typical tightening where we move up in interest rates by 25 basis points every quarter. This will be a very careful and slow process as the Fed is very worried about the "Taper Tantrum."
He does think a rate hike will happen in September.
