Goldman’s Solomon: Fed could raise beyond 4.5-4.75% if no ‘real changes in behaviour’

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FILE PHOTO: 2022 Milken Institute Global Conference

RIYADH (Reuters) – Goldman Sachs CEO David Solomon said on Tuesday the U.S. Federal Reserve said economic conditions will “tighten meaningfully from here” and the U.S. Federal Reserve could hike rates beyond 4.5-4.75% if it does not see real changes in behaviour.

“So I too am in the camp that we likely – likely have a recession in the U.S., going to have I think, most likely, a recession – we might be in a recession in Europe,” he said, speaking at Saudi Arabia’s flagship investment conference FII.

(Reporting by Hadeel Al Sayegh in Riyadh and Yousef Saba in Dubai, Editing by Louise Heavens)

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