Lates News

Analyst Chris Anstey said that once again on Fed day, the volatility came more from the press conference than from the FOMC statement. For today, Fed Chair Warsh's remarks seemed to only slightly amplify the tone conveyed by the latest dot plot and rate decision. Overall, the press conference leaned hawkish. Although Warsh did not provide specific forward guidance, when he said that what he and his colleagues did was remove "a dose of accommodation," that in my view means he is open to further rate hikes unless the data change. Some investors must have read it the same way, which is exactly why the two-year yield hit a more than two-year high after he began speaking.