Inflation running under target? Check
Low growth intact? Check
Are we lowering mid and longer range rate expectations? Check
So the Fed checked every box,
Including the boxes that talked about 3 hikes next year and tapering the balance sheet. You can’t make this stuff up. But hey, all of this serves as the normal FOMC contradictions we’ve come to expect. They keep looking for growth that never comes, protecting against inflation levels we aren’t half way to. So how do we react to this?
We are exactly in the spot I suggested in my last post…
We tend to creep up around now, feeling more pressure in about a month and bounce sometime in Dec. I wouldn’t panic. We’ve sold into these pretty hard up to now, so I would think we’ll find some support around 2.28 if not 2.32. I don’t see us breaking much higher immediately, but I would be playing a bit of protect here.
#money #fomcgoals #stillontherange #smh #noinflation #ratehike #check #thefed #itoldyouso #themancusowatch