MNI BRIEF: China Visitor Mobile Payments Surge in H1

MNI China Daily Summary: Friday, July 26

MNI BRIEF: Foreign Firms Content In China

MNI BRIEF: Turkish Inflation Expectations Steady- TEBA

MNI China Press Digest July 26: Deposit Rates, Fiscal, PBOC

MNI: PBOC Net Injects CNY299.05 Bln via OMO Fri

MNI: BAKER HUGHES US RIG COUNT 589; OIL RIGS 482; GAS RIGS 101

MNI: UNIV OF MICHIGAN CONSUMER SENTIMENT FINAL JUL INDEX 66.4

EZ/UK Bond Supply Calendar: BoE Short APF Operation on Monday

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Wrightson ICAP: Minutes Could Suggest Potential For Delayed QT Start​

FED

Wrightson ICAP believes the March FOMC minutes "won’t resolve the question of how large the May rate hike will be, but only because the committee itself is not yet sure." However, they "should offer more clarity about the balance sheet outlook."

  • A central question is whether the Fed considers a 50bp hike AND immediately starting QT in May to be "too aggressive". Given that many on the FOMC are open to 50bp in May, it's possible the Fed might push back the QT start date to "soften the impact".
  • The minutes could underline potential for delayed QT if they "express much ambivalence about the timetable for the first net redemptions", but if they "suggest that the committee was inclined to get the QT ball rolling right away, our guess is that the FOMC would follow through with an immediate launch in May."
  • In the end, Wrightson ICAP thinks the Fed will resist finetuning QT, with the upcoming economic data potentially determining whether the May hike is 25 or 50bp, but probably won't alter the runoff schedule.
Energy BulletsCommodities
Energy BulletsCommodities

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.