Fed's Evans on CNBC

  • The fundamentals of the economy are good
  • 2% target is symmetrical and we need to follow through on that
  • I think it's too simplistic to say the past three months were an anomaly
  • Competition is coming from new places and that could be hurting margins
  • We could go until December and then make a decision on rates as we watch the data
  • The economy has been doing quite well, after the election there was a wave of optimism
  • Now there is a bit more uncertainty and it's taking longer, it hasn't been laid out in a clear manner so people are probably downgrading what they expect
  • The labor market is getting tighter for sure
  • Not overly nervous about market levels

Market pricing is for about a 20% chance of a hike in September and a 50/50 shot in December. Evans sounds a bit more confident that that but he also doesn't sound like he's in a rush to hike. He's a dove so he will be one of the first to join Kocherlakota if the data continues to disappoint.