Around this time last year, as another white male took the reins at the Federal Reserve Bank of Philadelphia, the Fed's archaic and opaque system of choosing its regional presidents started to come under fire. At first the criticism was over the way the system appeared to favor insiders. Patrick Harker, at the time the new Philadelphia Fed President, had sat on the regional Fed board that was tasked with filling that position. Later that summer the Dallas Fed would name Robert Kaplan, who is also white, as its president despite the fact that he was a director at the executive search firm that that regional Fed board hired to find candidates. When the Minneapolis Fed named Neel Kashkari its president later in 2015, groups like the Fed Up Coalition pointed out that while he was the only non-white regional president, he, like Harker and Kaplan, had former ties to Goldman Sachs.
from Morning Bid with David Gaffen:
Investors remain fickle in a market that gives them a few nice pieces of data only to yank away that optimism. Monday’s figures on personal consumption and gross domestic product (revised lower, as expected) again brought out the chattering classes nervous that the Fed will suddenly stand fast on its seeming expectation to raise rates again before long.
The U.S. November jobs report is expected shortly, and in all likelihood it will be a solid one. But forecasts around future employment are not quite so optimistic.
The Federal Reserve's planned smooth and gradual rate hike path may be bumpier than anticipated if U.S. economic growth over the next several months and punishingly cold winter weather follow a well-established recent pattern.
By now, you've probably heard this catchy song about China's five-year plan on Youtube. If not, take a listen.
It's probably a good thing the Federal Reserve concluded its latest policy meeting with a strong signal of its intentions, because GDP growth data expected later on Thursday are unlikely to cement rate hike views one way or another.
from Expert Zone:
(Any opinions expressed here are those of the author and not of Thomson Reuters)
The U.S. Federal Reserve’s decision to hold rates came as a relief for Asian markets, especially in India where the Nifty ended the week at 7,982, or 2.5 percent higher. However, U.S. and European markets corrected sharply on Friday due to Fed chief Janet Yellen’s comments over China’s economic slowdown.