Backtracking Bank

yellenIn today’s press conference Fed Chairwoman Yellen told us the Fed might raise rates as soon as June, but then quickly backtracked playing the markets masterfully. She cited the strengthening dollar as hurting manufacturing and weakening inflationary trends. Moreover, while the Fed expects the unemployment rate to keep falling, better wage growth isn’t expected due to continued labor availability and weak labor productivity growth, thus curbing growth in GDP.

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