Well Chair Yellen ruined Valentine’s Day.
Bonds are actually almost back to pre-testimony levels, so maybe it’s not that bad.
Here’s my takeaway:
How many times is the market going to fall for the “we will raise rates if the data dictates” game. All I hear is blah, blah, blah and the lemmings follow.
It comes back to the simple fact that good economy=high rates, bad economy=low rates.
The Fed will govern accordingly. We can do all the talking we want, but the proof is in the doing. I don’t think this is enough to break the current range by itself, but I certainly don’t love the lower end as much as I might have prior to 10AM. Chance of March is still under 20% right now and that slight uptick is why were are down a few ticks as I write.
For goodness sakes, get your significant other some flowers or candy. Maybe a spiffy pair of percent sign (%) boxers or socks. I assume you’ll take this under advisement. No pictures as proof please…