26 May 2015
Fed’s Mester: ‘Time is near’ for the first hike – BNZ
FXStreet (Barcelona) - Currency Strategist at BNZ, Raiko Shareef, shares the key comments on US rates by Fed member Mester and Fischer.
Key Quotes
“With all the debate about the timing of the first Fed Funds Rate hike (we pick September), Fed Vice Chair Fischer noted that the choice for FOMC members rested between starting early and undertaking a relatively gradual tightening cycle, or delaying and run the risk of a steep climb in interest rates.”
“In his speech, he also made the point that the first hike would represent a shift from “ultra-expansionary monetary policy to an extremely expansionary monetary policy”.”
“Separately, Cleveland Fed President Mester said that the “time is near” for the first rate hike, and that “every meeting is on the table”.”
Key Quotes
“With all the debate about the timing of the first Fed Funds Rate hike (we pick September), Fed Vice Chair Fischer noted that the choice for FOMC members rested between starting early and undertaking a relatively gradual tightening cycle, or delaying and run the risk of a steep climb in interest rates.”
“In his speech, he also made the point that the first hike would represent a shift from “ultra-expansionary monetary policy to an extremely expansionary monetary policy”.”
“Separately, Cleveland Fed President Mester said that the “time is near” for the first rate hike, and that “every meeting is on the table”.”