Boockvar on the Fed’s Yawner
From Peter Boockvar:
A yawner and what will Chair Warsh say?
The FOMC statement was a yawner as it was identical in its wording with the prior meeting on the economic commentary however there was one change of slight note and maybe a reference to the upcoming results from the economic data gathering piece of the task force.
The new line said right after the line “Inflation remains elevated” that “The accumulation of more information will help the Committee determine the policy stance appropriate to ensure a timely return of inflation to the Committee’s 2% goal.” I guess that is just stating the obvious.
We did get two dissents, one from Lisa Cook, a Governor, and the other from Beth Hammack who has dissented before, and assume all else equal, they’ll again argue for a rate increase in December.
With little to chew on here, bond yields are about unchanged with the 2 yr remaining at 4.77% vs 1:59pm est and the 10s and 30s each up 1 bp.
In yearning for more info about the Fed’s leanings as we now look to the December meeting, I’m sure again Chair Warsh will dance around making any commitment and we’ll be more reliant on the upcoming speeches and comments that his colleagues give.
Position: None
