An interview with Collins is out in the FT.
I take her comments to signal that the Fed would be there if things got disorderly (as always) but some in the market are taking it as a stronger signal that the Fed is standing by.
I think a different report released at about the same time is the driver of the bounce in risk assets at the moment.
Update: Now she is out with an interview in the WSJ as well.
It’s appropriate for us to have a pretty high bar to be pre-emptive” on rate cutsUSD weakness could reflect expectations of slower economic growToo soon to say whether broader efforts by the Trump administration to order the global trading system might also upend traditional capital-flow dynamics
This article was written by Adam Button at www.forexlive.com.
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