Hawkish Or Dovish? Mixed Signals On Fed PolicyMichelle Jones
The dovish tone following the March meeting signaled a shift in Fed policy as the markets now seem to be expecting the next rate hike not in June but in the second half of the year. The more recent Federal Open Market Committee (FOMC) meeting brought more hawkish comments, demonstrating that U.S. policy makers remain highly uncertain about what to do next. Despite the mixed signals, Credit Suisse analysts don’t feel they need to reprice changes in Fed rate hikes right now.
It should be noted that this week we're expecting at least four new data sets that may impact Fed policy and tone around the June meeting: the National Accounts, Balance of Payments, and Household Borrowing reports, all of which are due on Thursday, and the Markit/ CIPS report on Manufacturing, which is expected on Friday.
Number of potential outcomes for Fed policy falls
This content is exclusively for paying members. Access all of our content on including years of timeless investment news and in depth analysis for only a few dollars a month by signing up here while also supporting quality content and journalism, or learn more about our premium content here
If you are subscribed and having an account error please clear cache and then cookies if that does not work email email@example.com and we will get back to you as quick as humanly possible