Federal Reserve Bank of St. Louis President James Bullard crossed the wires, via Reuters, arguing that the drop in 10-year yields and inflation expectations after last rate hike were a cause for concern and continued rate hikes were not justified by data.
Key quotes (via Reuters):
- Don't expect decision to draw down balance sheet will lead to a repeat of the 'taper tantrum' because expects communications to be better
- Macron win in French election does not appear to have been unexpected by markets or change his views about risks facing the U.S.
- U.S. first-quarter GDP was disappointing, puts pressure on rest of year for economy to get back to trend
- Job growth is consistent with two percent GDP growth, given size of labor force and productivity
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