April FOMC outlook from BofA: At this...........>

FED: April FOMC outlook from BofA: At this meeting, Fed to focus on tweaks to

market programs (i.e. Main Street and other lending programs) and adjustments of

administered rates.

- IOER and ON RRP will likely both be hiked 5bps, risk that IOER moved +10bps.

- Press Conference: To focus on existing programs and the potential tools still

available (like maybe YCC or price/inflation targeting).

- Future action: Do not expect big changes in the near term, but doubt the Fed

is done. Rising likelihood the Fed could adjust current programs/ease monetary

policy. Fed could lower the rate on MMLF / CPFF, expand TALF collateral, allow

more flexible terms on MSLF. Next likely easing steps may be YCC and enhanced

forward guidance. Do not expect the Fed to engage in negative rates or any

equity market program in the near term.