*** Bank desk reactions to the FOMC.........>

US VIEW: *** Bank desk reactions to the FOMC MonPol decision (2/3): 

- Scotiabank: The FOMC consensus walked on the slightly more dovish side of

neutral compared to market concerns going into the statement. There are

significant language changes that at a minimum provide no clue that the

consensus is thinking of adding to the 'dot plot' guidance for the pace of rate

hikes.

- TD: We would not take a strong dovish signal from the changes to the

statement, however: the FOMC continues to expect a "further gradual" rate hikes,

and also does not foresee a significant overshooting of the inflation target.

Were the latter to arise, we would expect a more explicit hawkish shift in the

Fed's language. We continue to see the Fed on track for another 25bp rate hike

in June, and three in total for this year unless inflation surprises materially

(in both size and duration) to the upside.