Bank of America CEO Brian Moynihan joins Yahoo Finance in Davos, Switzerland to discuss the 2022 Fed hike and what it means for the future of the U.S. economy.

Video Transcript

BRIAN MOYNIHAN: The economy is bigger than it was in 2019. The unemployment rate's lower. The projected growth for this year is actually stronger than the projected growth was for '20, before the pandemic. Why wouldn't the rate structure be at least the same? And they've got to put it up to normalize that. And when you do that, then you don't have false growth and inflationary growth. So I think that that's a good thing.

So I think as you think about it, they have to slow down the economy, or it will go a below trend. If it goes into recession, the way we run, the right way. We've driven responsible growth for the last decade-plus. You know, we stress tested every quarter. We know what that 10% unemployment looks like. You see it in the stress test. You'll see the results here in a few weeks, I think. And you'll see it, and it shows we have the cap liquidity. By the way, the whole industry does, and that's a good thing.

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