5 Aug 2015
September’s lift-off seems closer – Deutsche Bank
FXStreet (Edinburgh) - Analyst at Deutsche Bank Jim Reid assessed yesterday’s comments by Atlanta Fed D.Lockhart and the chances of a Fed’s lift-off in September.
Key Quotes
“The comments were interesting given that Lockhart is seen as something of a centrist in the Fed camp who moves with the consensus”.
“Lockhart had also previously said back in May that he is more prepared to take the risks of waiting rather than being too early”.
“In his comments yesterday Lockhart also added that the addition of the word ‘some’ to the FOMC statement in relation to further improvement in the labour market was ‘a qualifier that conveys to the public that we’re getting close’.
“This of course will be tested somewhat today when we get the July ADP employment print (with market expectations at 215k) which of course comes as an important precursor ahead of payrolls on Friday”.
Key Quotes
“The comments were interesting given that Lockhart is seen as something of a centrist in the Fed camp who moves with the consensus”.
“Lockhart had also previously said back in May that he is more prepared to take the risks of waiting rather than being too early”.
“In his comments yesterday Lockhart also added that the addition of the word ‘some’ to the FOMC statement in relation to further improvement in the labour market was ‘a qualifier that conveys to the public that we’re getting close’.
“This of course will be tested somewhat today when we get the July ADP employment print (with market expectations at 215k) which of course comes as an important precursor ahead of payrolls on Friday”.