More comments from Lockhart:

  • Fed will not have a great deal more inflation data by Jan and March policy meetings to make a call on 2nd hike
  • Several more weeks of global turmoil may hurt economy
  • IOER likely a permanent Fed tool
  • If China turmoil and other volatility last too long it could revise views on US economy
  • Fed will consider reducing balance sheet only after it is clear that normalization of rates has gone smoothly and economy healthy
  • Fed will not have a great deal more inflation data by Jan and March policy meetings to make a call on 2nd hike

That's the first real hint we've had that the Fed will avoid hiking rates in March.