Nothing really for the market to get its teeth into
For me the line that stands out is this one;
"If the economy we're to disappoint, a lower path of the federal funds rate would be appropriate"
The full part of the statement says;
"Of course, monetary policy is by no means on a preset course. The actual path of the federal funds rate will depend on what incoming data tell us about the economic outlook, and we will regularly reassess what level of the federal funds rate is consistent with achieving and maintaining maximum employment and 2 percent inflation
Conversely, if the economy were to disappoint, a lower path of the federal funds rate would be appropriate. We are committed to our dual objectives, and we will adjust policy as appropriate to foster financial conditions consistent with the attainment of our objectives over time."
As I mentioned in my earlier post, this is Yellen playing straight down the middle. Even with all the worries flying around, the path for rates is still up. There's no throwing in the towel here and it could be construed as mildly hawkish, against the current tone of the market.
The price action in dollar pairs tells us everything we need to know about the testimony and that is, it's not making any waves.
USDJPY had a little 40 pip run around between 115 and 114.60 and sits at 114.80
That puts the risk on the Q&A now and you can watch it live from the following places;
