fed fomc

Glass Half-Full Or Half-Empty? Previewing Today’s Big Event

"It’s unclear to me how we get from the dovish statement released three weeks ago to a hawkish retelling of the event. But that’s what seems to be on people’s minds."

You might recall a post I penned a couple of days ago that highlighted commentary from Morgan Stanley, whose economists suggested the market's interpretation of Yellen's testimony on Capitol Hill was a case of "selective hearing." Well since last Tuesday, the market has had multiple chances to interpret Fedspeak and I think it's fair to say that everyone kind of "wants to believe" in the hawkish narrative. But that's kind of odd, when you think about it. After all, it wasn't four weeks ago when markets were basically instructing the FOMC to interpret the January jobs number (and specifically the underwhelming average hourly earnings print) as a signal that March should in fact not be a live meeting. The bottom line: is a hawkish Fed good because it reinforces the reflation narrative or is a hawkish Fed bad because it increases the chances of a policy shock and attendant risk-off behavior in otherwise buoyant equities? Who the f*ck knows. But former FX trader turned Bloomberg contributor Richard Breslow has some good color for you to consider ahead of the Fed Minutes which we'll get this afternoon. Via Bloomberg Later today, we get to see the minutes from the February FOMC mee
Subscribe or log in to read the rest of this content.

2 comments on “Glass Half-Full Or Half-Empty? Previewing Today’s Big Event

  1. […] Don’t forget what Bloomberg’s Richard Breslow said earlier this morning: […]

  2. […] Bloomberg’s Richard Breslow put it, “we [went] from the dovish statement released three weeks ago to a hawkish retelling of the […]

Speak your mind

This site uses Akismet to reduce spam. Learn how your comment data is processed.