And not only did the Fed disappoint, but it didn't even extend ZIRP through 2015. Sorry Hilsenrath, better luck next time
- FED SAYS IT `WILL PROVIDE ADDITIONAL ACCOMMODATION AS NEEDED'
- FED REPEATS EXCEPTIONALLY LOW RATES AT LEAST THROUGH LATE 2014
- FED SEES INFLATION OVER MEDIUM AT OR BELOW MANDATE LEVEL
- FED TO KEEP REINVESTING HOUSING DEBT TO MORTGAGE SECURITIES
- FED SAYS HOUSING SECTOR REMAINS DEPRESSED
- LACKER DISSENTS FROM FOMC DECISION
And if markets are surprised by this goose-egg according to which the September FOMC will at best be the ZIRP extension that was supposed to take place today just so Congress can sort its own mess out with the Fed, wait until Draghi confirms what we said last week: that he was merely posturing and is totally impotent without the Buba's blessing. Then you will see pain in a market which is 5% higher than where it would be absent his headfaked posturing.
Full redline: