Also in this playlist...
This transcript is automatically generated
Moments away now from window into the Fed minutes of the latest FOMC meeting.
-- be -- at the top of the hour and will be wondering if they're gonna shed new light on the prospect of more.
Let's -- Wells Fargo chief fixed income strategist.
Bryan railing -- think you so much for joining us.
I as a leading into the break you know we've had some pretty good decent economic data points retail sales housing just today may -- inflation -- since the last meeting so how pertinent will the minutes maybe.
I think you make a great point.
Are you think about the last meeting August 1 it was really a lot of negative set -- out there.
And not very good economic news and and since then really economic news is turned around.
Are quite a bit and so I do I think it'd be careful reading too much into.
This Fed's -- these -- these minutes I do think that.
You know you may see a little bit more gloomy tone of the minutes then -- is really occurred here over the last few weeks and the Fed thinking may have changed a little bit over the last few weeks.
Are you I've sort of you know it's Brian do you believe that QE may been -- sell on the gender in December of what we would would that be what -- the Coles last to have most of based on.
Well I think we were heading towards QE3 in September clearly we -- headed down that path.
The economic data over the last few weeks is probably reversed the likelihood.
If -- QE3 in December probably gonna have to C again.
The employment numbers not continue to improve so we.
Start for -- employment numbers.
You know the nonfarm payrolls numbers below 200000.
Again for a couple months in a row.
You -- the general economic zone sentiment kind of -- -- You know could definitely be back on the agenda for December.
So events to keep a close eye on then by way of what the Fed may or may not -- I would imagine the -- -- payrolls number.
First week of September right and you -- the Jackson Hole meeting so give a cent from -- to what we need to be watching out for here.
Well I again that the Fed being a dual mandate bank.
Clearly focused on the unemployment picture so until we see a more sustained recovery there.
I think their keying in on that of course price stability the other key point so.
You know the inflation appears to be well under control giving them a little bit -- leeway so.
-- -- be on the watch -- ever tighter instructed just wanted to drill down on this point of the August payrolls -- some have suggested the make or break decision making.
Data point for QE.
I think clearly it it probably is for this September meeting.
You know although it -- a very negative report at this point.
To get its September action I think given some of the more positive data we've got both of the July number and more recently and some of the additional economic data.
Well right up until now -- the hasn't done a whole lot has it knew would talking about the job numbers -- duck.
The sad that reserve presenter -- -- yesterday basically saying hey he believes that the Central Bank is less willing now.
To ease monetary supplied but also -- questions whether.
It's been bad -- -- and then you know releasing more cheap money is not gonna do that much would you agree.
Well I do think that QE1 did have a a meaningful impact.
I just look where interest rates are today there are lower than even where they were during the height of the crisis so I I think there's been an impact.
I think it has been you know on the margin positive.
I do think that is each additional quantitative easing.
Is initiated has less.
The impact in the one before so I I think there there is strong case to be made that additional quantitative easing.
You know potentially.
Shows that the Fed doesn't have a lot of cards left the -- and I think they have to be careful about that.
Well Bryan railing Wells Fargo thank you so much for your insights.
Filter by section