Cathie Wood Says Real Yields, Not Inflation, Are Driving Rates — Bill Ackman Thinks The Fed May Have Made A ‘Mistake’

Ark Invest CEO Cathie Wood said Tuesday that rising interest rates appear to be driven more by real yields than inflation, as she weighed in on Bill Ackman ‘s hypothesis that the Federal Reserve’s rate hikes could backfire in an artificial-intelligence-driven economy. ” Earlier this month, Wood said that even as the stock market hits record highs amid higher interest rates, the current technology revolution will impact the global economy and equity markets more than the Industrial Revolution did. 00%, its first hike since 2023. Interest rates seem to be rising because of real yields more than inflation.

Real growth is surprising on the high side of expectations in this technology revolution. Looking forward to addressing @BillAckman ’s hypothesis in "In the Know" on Friday. — Cathie Wood (@CathieDWood) September 29, 2026 Read Also: Bill Gates Pushes Back Against Trump, Jensen Huang's Approach to AI Safety: ‘You Can’t Rely on the Industry to Self-Regulate Did the Fed make a Mistake? ” Ackman argued that higher rates could instead fuel more inflation, since “interest costs are embedded in everything,” warning of a loop where rate hikes force the Fed to raise rates further.

8% probability of another hike in October. Ackman is scheduled to appear on Wood’s podcast, ‘In The Know,’ on Friday. 21% in early pre-market trading on Wednesday. 09% in pre-market.

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