Roubini warns of bond, stock sell-off

NEW YORK: Nouriel Roubini is warning investors of a sell-off in bonds and equities as the US Federal Reserve is forced to keep interest rates high to fight sticky inflation.

The chairman of Roubini Macro Associates, who has a track record of predicting doom, said consumer price growth is not falling fast enough and the market will eventually rethink the 60 basis points in interest rate cuts currently priced in swaps for later this year.