Fed Holds, Says Case For December Hike “Strengthens”; No Mention Of Election; 2 Dissent

Jon Alternative Media, Blogosphere, Economy, Fiscal Policies, Politics

While the dollar is up, every other asset class is lower since the September FOMC statement ahead of the least-anticipated Fed meeting of the year. Fed funds implied a 14% chance of a rate hike today but sentiment was for a 0% chance with expectations of a hawkish-biased statement (67% prob of Dec hike). From Bloomberg:
*FED DECIDED TO WAIT FOR TIME BEING FOR SOME FURTHER EVIDENCE *FED SAYS CASE FOR A RATE HIKE HAS CONTINUED TO STRENGTHEN *FED SAYS GEORGE AND MESTER DISSENT IN FAVOR OF RATE HIKE With no press conference to explain the latest phrasing, we can only assume the jawboning and newspeak will be heavy to covince the world December will be a “dovish hike.”
Notably, while in the September meeting there were 3 disenters, George, Mester and Rosengren, this time Rosengren decided to join the majority, leaving just two dissenters.

This post was published at Zero Hedge on Nov 2, 2016.