Friday, September 11, 2015

Nomura FOMC Preview: December

by Bill McBride on 9/11/2015 03:01:00 PM

From Nomura:

"We believe that the FOMC will wait until December to increase short-term interest rates. This judgment is primarily due to the uncertainty surrounding the inflation outlook and the evolution of financial conditions going forward. The possible impact of recent financial market movements on the economy is not yet clear, but should become clearer by the December FOMC meeting. That said, a September liftoff is still on the table as economic data have been more solid and some FOMC participants still seem confident that inflation will evolve in line with their outlook. In addition to the FOMC statement, we will also receive the Committee’s summary of economic projections and Chair Yellen will hold a press conference. How Chair Yellen addresses the recent global and financial market developments and her view of their impact on the economic and inflation outlook will be important for our expectation of the path of policy."
CR note: I will post an FOMC preview this weekend.