I tend to think market watchers assign more clout to events when they are timed with market moves and that’s certainly the case today with Bullard.

The US dollar selloff began before Bullard began talking. There is a scramble to find a reason for the dollar drop and people are pointing to Bullard but I just don’t see it.

Fed bullard

Bullard

The main comments is that the Fed should continue QE while “adjusting the rate of purchases appropriately in view of incoming data on both real economic performance and inflation.”

That’s hardly groundbreaking stuff, and considering he was talking about increasing QE, a month ago that might even be looked at as a more hawkish stance. For me, anyway, the tone of the speech is all academic. It will be interesting to see how it all shakes out with Europe now closed and Dudley speaking in an hour.