Morning Meeting: June or July for the Fed?

The transcript discusses the Federal Reserve's considerations for potential rate hikes, focusing on the timing between July and September. It highlights the Fed's independence during election years and the impact of economic indicators like labor market conditions. The Fed is in a tactical hold, awaiting outcomes from the UK referendum and global economic data, while still considering two rate hikes this year.

What is the main reason the Federal Reserve might delay a rate hike until September?

• The Fed wants to see calming in global markets and better US data.

• The Fed is focused on the housing market.

• The Fed is waiting for the presidential election results.

• The Fed is concerned about inflation rates.

How does the Federal Reserve maintain its independence during election years?

• By consulting with the presidential candidates.

• By ensuring their decisions are not influenced by political parties.

• By focusing solely on international markets.

• By avoiding any rate hikes during election years.

What is the Federal Reserve's main concern regarding the labor market?

• The number of people entering the workforce.

• The number of new jobs created each month.

• The unemployment rate.

• The level of slack and wage growth in the labor market.

Why might the Federal Reserve consider a tactical hold on rate hikes?

• To wait for the outcome of the UK referendum.

• To allow the housing market to stabilize.

• To focus on domestic political events.

• To see if inflation rates increase.

What is the Federal Reserve's approach to future rate hikes?

• They will increase rates regardless of economic conditions.

• They will only consider rate hikes after the presidential election.

• They are data-dependent and will adjust based on economic indicators.

• They are planning a fixed schedule for rate hikes.