The President of the Philadelphia Fed is in the game this morning backing up what I was calling for in this morning's note. Charles Plosser is calling for rate hikes "sooner rather than later".
The US Dollar is in a very precarious technical position and needs this kind of Fed rhetoric to morph into action. So far this morning, the currency market has bought into Plosser’s narrative, taking the US$ Index +30 basis points to 72.05.
I'd like to see rates hiked and the US Dollar clearing the 72.61 bar.
It is time to manage this domestic currency crisis proactively.
KM
The US Dollar is in a very precarious technical position and needs this kind of Fed rhetoric to morph into action. So far this morning, the currency market has bought into Plosser’s narrative, taking the US$ Index +30 basis points to 72.05.
I'd like to see rates hiked and the US Dollar clearing the 72.61 bar.
It is time to manage this domestic currency crisis proactively.
KM