“But the key here is really going to be guidance. Everyone is looking for signs of the rolling over of profit growth, although not as much as the Fed or higher energy prices might indicate.”
“The bond market is still behind the inflation curve. The inflation story continues to chip away at our economy and it doesn't seem to be getting any weaker.”
“The world assumes the Fed will raise the rates by a quarter percentage point, that's a non-event. It's what the statement lays out about the pace of future rate hikes that will be important, because that's what people are thinking about. I think the inflation reports will also be pivotal next week.”
“This lends some comfort to the situation. In spite of slight economic weakness, the Fed sees no need to change its strategy. It's also not going to shut down the economy too quickly.”
