Fed's Daly: doesn’t think us is headed for recession

Ross J Burland FXStreet

A rather optimistic Head of the San Francisco Federal Reserve, Mary Daly, doesn’t think that the US is headed for a recession, arguing the US labour market is strong and that consumer spending is healthy.

Key comments:

Supported the rate cut in July at the FOMC, but not on concern about any impending downturn for the economy.
Labor market is at or near full employment.

FX implications:

The market doesn't buy it according to the yield curve. The dollar can remain in tender-hooks from and US yields are trapped below the steep descending resistance line.

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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