Update: moments after Evans, non-voter Eric Rosengren echoed this sentiment and called for 4 rate hikes in 2017, with the Fed hiking every other meeting.
- ROSENGREN : FOUR FED HIKES IN 2017 CONSISTENT WITH GRADUAL
- ROSENGREN: A FURTHER THREE INTEREST RATE INCREASES THIS YEAR
- ROSENGREN SAYS HE SEES THAT AS CONSISTENT WITH FED’S ‘GRADUAL’ PATH
- ROSENGREN: THERE SHOULD BE AN INCREASE AT ‘EVERY OTHER’ FOMC MEETING
- ROSENGREN: `IMPORTANT TO AVOID CREATING AN OVER-HOT ECONOMY
* * *
Moments ago, one of today’s three Fed speakers, Chicago Fed’s Charles Evans, spoke at a conference in Frankfurt and said that while it is “very safe” to foresee two rate rises in 2017, said that three could also happen, and went as far as suggesting that “four rate rises” are possible “if things proceed even better.” From Reuters:
- FED’S EVANS: ‘VERY SAFE’ TO FORESEE TWO RATE RISES IN 2017
- FED’S EVANS: IMPORTANT TO LIVE UP TO SYMMETRIC INFLATION OBJECTIVE
- EVANS COMMENTS FROM MEDIA BRIEFING IN FRANKFURT, GERMANY
- FED’S EVANS: FOUR RISES POSSIBLE IF ‘THINGS PROCEED EVEN BETTER’
It was not clear, however, if he was referring to US GDP being “Better”, which at 1.0% in Q1 according to Atlanta Fed, will hopefully not “proceed even worse”…
… or if he was referring to Trump’s domestic fiscal policy, which last week suffered a major setback when it as a result of the failure to repeal Obamacare, much of Trump’s economic policy timeline has been thrown in question.
via http://ift.tt/2nM8zSC Tyler Durden