*DJ Fed’s Dudley: Drop In Market Rates A Plus For Economy
He forgets about the interest income channels
*DJ Dudley: US Economic Growth Slower Than Expected
Yes, but still higher than the first half, as recently revised
*DJ Dudley: Has Revised Down Expectations Of Growth
Yes, but still higher than the first half when corporate earnings were relatively strong
*DJ Dudley: NY Region Growing Faster Than Nation
*DJ Dudley: NY Region Has Grown At ‘Slow Pace’
Yes, and better than the first half, helped by auto production resuming after earthquake delays
Retail sales were ‘normal’
The 9% federal budget deficit continues to provide reasonably support for modest GDP growth
The Fed’s ‘forecast’ for unchanged rates for two years is just that. It’s their expectation for rates based
on their outlook.
And while the Fed’s outlook will change as conditions change, markets are not taking it that way.