27 Apr 2016
FOMC: Do not expect to take it off the table - BBH
Research Team at BBH, suggests that the FOMC statement is the North American highlight, though the March trade balance will allow economists a last minute opportunity to adjust forecasts for Q1 GDP.
Key Quotes
“The first estimate will be reported tomorrow. The FOMC statement will likely recognize the preliminary improvement in the global climate but also the soft patch in the US economy. However, it may still regard the global situation as fragile and look through the soft patch. To say it is data dependent is banal.
Investors are looking for some insight into the June meeting, when three-quarters of economists (according to a recent Wall Street Journal survey) expect a hike. We do not expect the FOMC to take it off the table. Nor can the FOMC make a commitment to it. At the end of the day, the information set investors have may not be substantively changed.”
Key Quotes
“The first estimate will be reported tomorrow. The FOMC statement will likely recognize the preliminary improvement in the global climate but also the soft patch in the US economy. However, it may still regard the global situation as fragile and look through the soft patch. To say it is data dependent is banal.
Investors are looking for some insight into the June meeting, when three-quarters of economists (according to a recent Wall Street Journal survey) expect a hike. We do not expect the FOMC to take it off the table. Nor can the FOMC make a commitment to it. At the end of the day, the information set investors have may not be substantively changed.”