Fed’s Bullard: December is ‘most likely’ for the next rate hike – ANZ

Research Team at ANZ, notes that the St. Louis Fed President (and FOMC voter) Bullard spoke in Arkansas yesterday and said that December is ‘most likely’ for the next rate hike.

Key Quotes

“But he also said that “the bottom line: low interest rates are likely to continue to be the norm over the next 2 to 3 years.” Of note, he also said that “the St. Louis Fed’s conclusion is that a single 25bp increase in the policy rate” will bring the US very close to Taylor rule value, suggesting the post-hike period could be a bit of an anti-climax, leaving US bond yields meandering over 2017.”