Halister News

(Bloomberg) -- “The more empathetic” Fed officials become about raising rates, “the less likely they will be able to pull it off,” FTN economist Chris Low wrote in note Friday.

• While Fed officials are committed to normalizing rates when conditions allow, “they are running out of excuses to justify further delay”
• Conditions now are “arguably more favorable” for a hike than in Dec.; Fed is “pretty clearly” not ready to tighten, “may not be ready to even hint at tightening in June”
• A June rate hike, accompanied by promise of more to come, would go long way toward starting USD on rising path again
• Feedback loop among Fed, USD, economy swings from “benevolent to restrictive”