22 Aug 2013
Flash: No concrete signal for a September taper - Westpac
FXstreet.com (Barcelona) - Below are the key takeaways from Westpac Economists on the US FOMC July 30-31 meeting minutes.
Key Quotes
"No concrete signal for a September taper though by the same token, no one calling for a Sep start will be dissuaded by the minutes."
"Strongest line in the minutes, "almost all participants confirmed" they are broadly comfortable with the already outlined tapering plans (ie if conditions improve as expected Fed will moderate the pace of purchases later this year in meassured steps and conclude by mid-2014)."
"It was interesting also that at least as of the 30-31 meeting, a number felt that market pricing for Fed Funds and tapering was in line with their own expectations."
"Minutes also reaffirm that Fed is considering lowering its unemployment rate threshold for interest rate increases (currently 6.5%)."
Key Quotes
"No concrete signal for a September taper though by the same token, no one calling for a Sep start will be dissuaded by the minutes."
"Strongest line in the minutes, "almost all participants confirmed" they are broadly comfortable with the already outlined tapering plans (ie if conditions improve as expected Fed will moderate the pace of purchases later this year in meassured steps and conclude by mid-2014)."
"It was interesting also that at least as of the 30-31 meeting, a number felt that market pricing for Fed Funds and tapering was in line with their own expectations."
"Minutes also reaffirm that Fed is considering lowering its unemployment rate threshold for interest rate increases (currently 6.5%)."