Once again the data pulls the Fed in different directions
There's a problem I've been highlighting for some time. The Fed can't get all the data pulling in the same direction. Today is another case in point.
CPI higher, earnings lower. What's the Fed to do with that? Raise rates on higher inflation but hurt the pockets of the population?
To say there's very little sympathy out there for the Fed is probably the understatement of the century but they are constantly being put in a situation where they are hit with both positive and negative numbers in the same indicators.
They've got a tough job on their hands and numbers like today don't help them at all.
Yellen faces a fight with herself over the data.
