We’ve had three Fed speakers this afternoon. One is the Fed’s most outspoken dove, Charlie Evans of Chicago. He wants to buy MBS until there are no more MBS left to buy. Richmond’s Jeff Lacker wants to steer clear, saying it’s not the Fed’s role to intervene in particular sectors of the economy. St. Louis’s Bullard says the Fed should stand pat on the question of more QE.
All the Fed Governors and many of the regional Fed presidents are gagging to buy more mortgage-bonds, so let’s hope the vocal handful of hawks can keep the doves in their coop.
