Roller coaster ride on Yellen’s speech

Janet Yellen

FED’s Yellen has a performance at Jackson Hole. Here is the main part of her speach …“Looking ahead, the FOMC expects moderate growth in real gross domestic product (GDP), additional strengthening in the labor market, and inflation rising to 2 percent over the next few years. Based on this economic outlook, the FOMC continues to anticipate that gradual increases in the federal funds rate will be appropriate over time to achieve and sustain employment and inflation near our statutory objectives. Indeed, in light of the continued solid performance of the labor market and our outlook for economic activity and inflation, I believe the case for an increase in the federal funds rate has strengthened in recent months. Of course, our decisions always depend on the degree to which incoming data continues to confirm the Committee’s outlook…”

Nothing specific, but the market is shaken strongly. The US dollar has strengthened from the start, then get hitted hard and now it returns in the beginning. Roller coaster ride for the end of the week and only gold still sustain with gain vs USD after the speech.

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