FEDS DANGEROUS GAME

The minutes to the FOMC minutes remain unsure about next rate Increase.

Discussed range of Options from PAUSE TO Half Point rise

MOST LIKELY PAUSE.

The Fed's dangerous dance with inflation continues. According to the May 10 meeting minutes the FOMC believed it's unclear if any more rate hikes are needed. They also continue to believe inflation will remain in check, even as they noted a "worrisome" shift in inflation expecations. Collectively, the minutes continue to represent a tug of war between the world the Fed expects to see, that has thus far not shown up in the data. And it's worth keeping in mind that since that FOMC gathering both the CPI and the core PCE have not gone the Fed's way