- In their statements, Fed officials have alluded to global market/economic uncertainty (Q1 commodities declines, Brexit), weak payrolls data (May) and low inflation (below 2% target) as drivers behind inaction this year.
- Fed officials have not mentioned recent positive economic data and the global post-Brexit rebound in riskier assets (stocks, commodities) as often as the aforementioned negative developments.
- Only 8% of investors believe the Fed will hike rates today; fears of “moving too quickly” may delay the next hike to 2017.
Yellen Still Waiting for Overwhelming Evidence to Warrant Hike – Bloomberg
(07/25/2016)
