The Only Thing That Was Preventing A Rate Hike, Just Flashed A Rate Hike “Green Light”
by Tyler Durden
ZeroHedge.com
08/28/2015
Overnight, UBS’ Drew Matus – who still expects a September rate hike – writes that while “domestic momentum seems strong enough to support the beginnings of policy normalization with a rate hike in September” and that “the FOMC’s central tendency projections for domestic activity are generally being met”, cautions that “foreign strains and their spillover into financial markets have lessened the likelihood of that hike.”
No surprises there, as this was merely a confirmation of what Bill Dudley said three days ago when he said a “September rate hike is less compelling” launching the biggest two day market move in history, even though counterintuitively what Dudley said was that there will be no rate hike as long as stocks are down. Stocks reacted by soaring, thus making September “compelling” once again.
The Rest…HERE
