Fed’s ‘wait-and-see’ for longer? – TDS

In view of strategists at TD Securities, Yellen’s testimony next week could lean towards further ‘wait-and-see’ mode by the Fed.

Key Quotes

“Janet Yellen will make her semi-annual testimony on Capital Hill. TD expects Yellen’s remarks to be mostly balanced, reinforcing the Fed’s “wait and see” mode”.

“At the same time she will continue to reiterate the Fed’s optimistic outlook for growth and inflation, though she will likely highlight the increased uncertainty surrounding that outlook”.

“TD expects the tone of Yellen’s remarks to be mostly dovish, reinforcing the lowered odds of a March hike”.