Expecting a Fed rate hike in Sept – Westpac

FXStreet (Bali) – Bill Evans, Chief Economist at Westpac, still expects a FED hike in September.

Key Quotes

“Last week we discussed our expectations that the FED was set to begin raising rates in September.”

“Events of the last few days around extreme market volatility have led markets and most commentators to revise down the prospects of a September move. This is a reasonable response with the new risk for the FED being the feedback loop of this volatility on business and consumer confidence (note the 10% jump in the Conference Board’s Consumer Confidence Index immediately prior to the recent volatility).”

“For now, we are maintaining our call for a move in September with market developments and data releases, the most important of which will be the August jobs report, still holding the key as to whether the FED will move in September.”

Bill Evans, Chief Economist at Westpac, still expects a FED hike in September.

(Market News Provided by FXstreet)