I was going to post up a reference to this but was beaten by Jon Hilsenrath and then by Calculated Risk. And I can’t believe I have even referred to Jon Hilsenrath and Calculated Risk in the same sentence as I referred to this here blog, but I think I must be on the right track if I am in such august company.
Hilsenrath’s article here:
Slowing Inflation Cheers Fed
Calculated Risk here:
WSJ: “Slowing Inflation Cheers Fed”
As Hilsenrath notes, inflation is slowing by most key measures, and this will give the Fed more leeway. It always seems the Fed telegraphs their intentions, and it now seems very likely the Fed will add a range of Fed funds rate forecasts to their quarterly economic projections at the next FOMC meeting on January 24th and 25th.
This is “market friendly”: see this piece from the always excellent Jeff Miller at A Dash of Insight:
Want to make money? Take off your ideological blinders!