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Nothing New With The Yellen Testimony

 yellen testimony

 

Once again the market appears to be knee jerking on no real change in the stance of the  Federal Reserve Open market committee. The key highlights for me in the Yellen testimony was moderate growth, Federal funds rate increase, and Gradual increase, that’s the whole speech right there. So in truth the FED is targeting 4% on the funds rate but will increase gradually, the economy is growing moderately with unemployment largely confined to African Americans and Hispanics in her own words. So if this trend continues middle class America is relatively safe and life goes on.

The market reaction to the Yellen testimony was a stronger Dollar versus currencies like the Swiss Franc but movement was confined to the Canadian Dollar and Australian Dollar and the Stock market got a boost which shows investors bought it and it is, go stocks! For now all is okay on the United States front.

citymonopolist