Explore eFXplus Derived Data That Drive Results
A Data Partner of:
Refinitiv
Mar 22 - 02:55 PM

USD: Powell's 'Taper Tantrum'; The Fed May Have Made One Costly Mistake Last Week - Nordea

By eFXdata  —  Mar 22 - 01:30 PM

Nordea Research notes argues that the Fed may have made "one costly mistake last week, even if almost no one has noticed yet."

"Powell said that the FOMC members ”have resisted the temptation to try and quantify what that means, but when we are above target… we can do that” referring to the “moderate overshooting” on inflation, which means that Fixed Income tensions should build up again ahead of the April inflation print," Nordea notes. 

"Powell and the FOMC risk building up a pent-up tantrum scope by refusing to address inflation until it is actually at a point which augurs tightening of the policy. This still holds the potential to turn into Powell's taper tantrum," Nordea adds.

Source:
Nordea Research/Market Commentary

Subscription

  • eFXplus
  • End-user license agreement (EULA)

About

  • About
  • Contact Us

Legal

  • Terms of Service
  • Privacy Policy
  • Disclaimer
© 2021 eFXdata · All Rights Reserved
!