NY Fed survey: Several dealers see a lower probability of a third rate hike

Eren Sengezer FXStreet

The Federal Reserve Bank of New York recently published the results of its survey titled 'the Survey of Primary Dealers,' with the key quotes found below:

Since the policy survey on June 5, some dealers characterized communication around the timing and nature of expected changes to reinvestment policy as clear and effective
Several dealers indicated that communication regarding the inflation outlook had been less clear
Several dealers indicated that they decreased the probability they assigned to a third rate hike occurring this year compared to the prior survey and several indicated that recent slowing in measures of inflation caused them to revise downward their target rate expectations
Several dealers shifted later their modal forecast for the timing of the next increase in the target range from September to December

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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