The next shoe to drop in central bank is almost certainly some words from the Fed — probably Yellen — that shifts them closer to rate hikes.
If you look at the US dollar against almost any other currency, it could rally like a Usain Bolt-of-lighting… if it just had a reason. The hawks at the Fed are anxious to fire the starting pistol but Yellen continues to flap her dovish wings like it’s the Olympic opening ceremonies.
My Janet what hairy arms you have!
The FOMC decision is on Wednesday. Expectations are low but with jobless claims at the lowest since 2006 and the jobs picture continuing to improve, rates at zero are no longer needed. The Fed could easily shift them to 1.00% by the end of 2015 and they will still be extremely accommodative.
