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…  

XOXO

-Philip Mancuso