‘Deliberately Patient’
If you had to choose one quote from Friday's session that encapsulates the interplay between macro and policy, it would almost surely be Loretta Mester's characterization of the May jobs report as "solid" but not sufficient.
"Bottom line, I'd like to see further progress than where we are right now," Mester told Steve Liesman.
The 559,000 jobs added in May were "very good news," she said. "But I’d like to see further progress."
You have to love it. They're working their own forward guidance
Right on.
As far as liquidity and the price of money go, fed buying/tapering is only half of the equation. Supply may very well be the story of the back half of the year.