NY Fed president on the wires
September hike is possible
Headline inflation is drifting up a bit (obviously prepared remarks before today's numbers ;-) )
We seem to be on a trajectory for 2% inflation
Core inflation has been flat
Economy will be generally better in H2
If we raise rates this year it will be good news
Still expects more than one hike before the end of 2017
- US Treasury yields are pretty low given the economic environment
- Election won't weigh on Fed rate decisions
- It's premature to talk about raising the Fed's inflation target
- It's hard top judge if the election uncertainty is affecting the economy
- At worst, the election may be delaying investment
Dudders can paint whatever hawkish or bullish picture he wants but the market doesn't believe it.