FOMC: Will Yellen set the record straight? - TDS

Research Team at TDS, suggests that notwithstanding the weak May employment report, TD expects Yellen to strike a relatively balanced tone today, while arguing for caution on the conduct of monetary policy.

Key Quotes

“And even though Yellen should remain non-committal to a near term hike, she is likely to repeat the reference that “a rate hike in the coming months may be appropriate.”

The underlying tone of Yellen’s message should reinforce our current base-case for the Fed to stay on the sidelines until September, when a clearer picture on US growth, inflation, the labor market and global risks emerge.”