Last week it was Fed's WSJ lapdog hinting at a tapering. Now it is up to the Fed's own John Williams to provide an even stronger hint at what may be coming as soon as this summer. From Bloomberg:
- WILLIAMS SAYS FED MAY REDUCE QE IN SUMMER, HALT BY YEAR END
However, promptly following this is the following headline which we can only hope has a typo in it:
- WILLIAMS: UNEMPLOYMENT WON'T FALL BELOW 6.5% UNTIL MID-2105 (er, sic?)
And just to confuse everyone, as the Fed enjoys doing, here is the conclusion:
- WILLIAMS SAYS SLOWING QE WOULDN'T MEAN TIGHTENING IN POLICY
Bottom line: nothing will change.