Recent dots show a fair amount of dispersion in opinion at the FedFed is not in a ‘mad dash’ to neutral, in favor of not rushing to judgment or assuming job is done on inflationDoes not expect to see unemployment increase much furtherLabor market is ‘not flashing red’, optimistic about the futureFed will have to let the policies of the next President play outHad earlier been concerned that rate cuts would unleash pent-up demand but that may be ‘substantially less’ than thoughtFeels neutral is in the 3-3.25% rangeExcess savings have diminished for many households but some still have cash on hand and could fuel demand
This article was written by Adam Button at www.forexlive.com.
