BlackRock CEO: High inflation is the world's "biggest risk", and you can always make a lot of money in the opposite direction of Davos
Online reported that BlackRock CEO Larry Fink said investors were too quick to conclude that high inflation was over, raising the possibility that bond yields would rise as prices rose in the future. "The biggest risk facing the world today is that the world believes inflation highs are over," Fink told Bloomberg on Wednesday during the World Economic Forum in Davos, Switzerland, and said his views were at odds with those expressed by market forces. "I really think we're going to face high inflation." When talking about investment in artificial intelligence, Fink said that building data centers requires a lot of funds from the private sector. BlackRock is teaming up with Microsoft and others to raise a $30 billion fund, and Fink said the private equity market needs to pay special attention to how data centers are powered. "In the short term, we want to be clear that it will be powered mainly by natural gas, which in the United States is natural gas," Fink said, adding that power demand should spark discussions about the future role of nuclear energy.
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