The highlights of Bullard’s appearance on Bloomberg are online now.
“This was a close decision so it’s possible you get some data that changes the complexion of the outlook,”he said. “We said this would be data dependent. It is data dependent so that’s one message here.”
He was asked why the Fed didn’t taper $10 billion and said “that was a borderline decision and the committee came down on the side of ‘why don’t we just wait?”
He also said it was a ‘close decision’ and that a chance in October is ‘possible’.
Start at about 3:10.
Stocks aren’t liking in the idea of an October taper and are near the lows of the day at 1717. Most of the price action today can be tied to these comments. After the Fed, the market shifted to December not it’s shifted back toward October.
