US: Fed speak and PMI data in focus – BBH

The North American session features the Markit PMI preliminary September report for the US, which is typically not a market mover and as the FOMC embargo has ended, and so the Fed’s Williams, George, and Kaplan all speak today which are going to be amongst market movers for today’s session, according to analysts at BBH.  

Key Quotes

“Of these three, only Kaplan is a voting member of the FOMC this year.”

“We suspect that it was Fed President George that cast the dot plot indicating that two rate hikes this year would be appropriate.  She is one of the most vocal hawks on the Fed and is concerned that the persistence of low interest rates distorts economic signaling and risks financial instability.  If that is her dot, it does not mean that she is forecasting two hikes this year, as the media suggests, but that it is her way of putting forth her argument that the Fed is slipping behind the curve.”