Bernanke’s mentor and Fed Vice-chair Stanley Fischer performed for the financial class as expected this morning, making hawkish sounds on interest rates.
More specifically he cast doubt on the notion of a ‘one and done’ for interest rate increases this year.
Well, Stan, let’s see if you all have enough resolve to give the markets ‘one’ 25 bp raise before you start talking your book too aggressively about more. So far the FOMC has as much conviction to do the right thing as a drunken sailor in a bar on a late Friday night.
As well they might. Its a good thing they are on fat salaries and not piece work, because so far they have failed at just about every thing they have done, and often spectacularly so.