8 Jul 2015
US growth, the Fed & USD – Scotiabank
FXStreet (Barcelona) - Eric Theoret, CFA, CMT, Currency Strategist at Scotiabank, offers the outlook for US rates, growth and the dollar.
Key Quotes
“Wednesday’s release of Fed minutes from the June meeting may provide for a shift in focus from developments in Greece and China as market participants look for clues that policymakers are becoming ‘reasonably confident’ in their ability to reach the 2% inflation objective. Details relating to the 2015 path will be important as we consider the range of policy prescriptions (dots) detailed in the June SEP. The ongoing improvement in U.S. growth expectations is likely to bolster confidence in the Fed’s ability to begin normalization, as we consider the Atlanta Fed’s most recent update to its GDPNow forecast for Q2, rising to 2.3% SAAR as of Tuesday.”
Key Quotes
“Wednesday’s release of Fed minutes from the June meeting may provide for a shift in focus from developments in Greece and China as market participants look for clues that policymakers are becoming ‘reasonably confident’ in their ability to reach the 2% inflation objective. Details relating to the 2015 path will be important as we consider the range of policy prescriptions (dots) detailed in the June SEP. The ongoing improvement in U.S. growth expectations is likely to bolster confidence in the Fed’s ability to begin normalization, as we consider the Atlanta Fed’s most recent update to its GDPNow forecast for Q2, rising to 2.3% SAAR as of Tuesday.”