Dallas Fed President Kaplan:

  • Fed ought to be patient in this environment
  • Data doesn't support a Fed move now
  • Consumer should be strong, jobs data stronger than GDP
  • Won't know enough about the outlook by April
  • He's open minded about a June hike
  • Expects stronger US GDP over rest of 2016

The Fed funds futures market is pricing just a 15.7% chance of a hike in June compared to 40% before last month's FOMC. The hawks have been burned too many times to believe that Yellen will pull the trigger in June.