- Unwinding of Fed monetary policy likely to present challenges
- Financial conditions have eased
- Sees CPI headline inflation at 1.8% 2013
- Sees Unemployment around 7.5% throughout 2013 with employment growth picking up late 2013 early 2014
- Sees big scale asset buying warranted to at least year-end
- Fed should continue it’s preparations for smooth exit
- Modest dollar overvaluation could be unwound
- Extra low rates over long-term mat affect stability
Guess we’ve got our reason for the dollar plop.
