Central Banks

Fed’s Rosengren: Biggest concern is if there is global slowdown due to tariffs

Comments from Rosengren:

  • Not sure that US-China trade news alters Fed view of being patient
  • Also notes potential for market reaction to tariffs
  • It is hard to react to trade situation until we have better information
  • Challenge for Fed is how much markets react to tariffs
  • Asset prices are ‘a little frothy’
  • Sept is when Fed is expecting balance sheet run-off to end but that could change based on new information

The Fed has argued that the balance sheet runoff is technical but this comment certainly argues that it’s more nuanced. The criticism about the Fed reacting to financial markets won’t exactly be dampened by these comments.

ForexLive

Articles You May Like

Forex options expiring Thursday 23 May 2019
Live Day Trading – $300 in 2 Minutes‏
BOJ’s Amamiya says that need to improve JGB market functioning
FX option expiries for Monday 20 May 2019 at the 10am NY cut
Pelosi: Trump said in a letter that infrastructure must wait for USMCA

Leave a Reply

Your email address will not be published. Required fields are marked *