Richmond Fed President Thomas Barkin
Richmond Fed Pres. parking is speaking and says:
- Fed is in position to respond appropriately regardless of how economy involves.
- US economy looks pretty good
- Labor market is resilient.
- From here, labor market mighty be fine or may continue to weaken.
- Inflation might be coming under control or might risk getting stuck above Fed 2% target.
- Feds focus may turn to upside inflation risks or to downside employment risks, depending on how economy develops.
The market is pricing a 65% chance of a 25 basis point cut in December. That is down over the last week or so (it was in the high 70%s last week).
US yields are higher but off their highest levels:
- 2-year 4.314%, +6.1 basis points
- 5-year 4.269%, +7.6 basis points
- 10-year 4.370%, +6.3 basis points
- 30 year 4.516%, +3.7 basis points
