Yesterday there was the first speech of the new Fed Chairman Powell and he stuffed up.
Everybody said that Powell was just a continuation of Yellen, but, from the FED history, it is clear that every chairman likes to have its own stamp of approval.
Why he stuffed up.
The Fed was trying to convey a “balanced message” – The written speech was all about “balance between overheating and gradually bringing the price inflation to 2%”
Also. on Monday, his deputy, reassessed that he will carefully watch the signs and proceed gradually.
But when Representative C. Maloney, Dem = NYC, asked what would cause the Fed to raise interest more than 3 times (my personal take always has been 4), Jerome answered that his personal view is the the US economy has strengthened.
Immediately after the bond yields rocketed +1.62%, USD +0.62% and SP 500 -1.27%.
That is what I call a first bad day in the office.
My clients know what is my technical call.
investorpolitico 