{"id":10540,"date":"2015-07-30T06:26:08","date_gmt":"2015-07-30T11:26:08","guid":{"rendered":"http:\/\/olduvai.ca\/?p=10540"},"modified":"2015-07-30T06:26:08","modified_gmt":"2015-07-30T11:26:08","slug":"what-u-s-fed-chair-janet-yellen-doesnt-know-don-pittis","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=10540","title":{"rendered":"What U.S. Fed chair Janet Yellen doesn&#8217;t know: Don Pittis"},"content":{"rendered":"<div class=\"story-headline\">\n<h3 class=\"story-title\"><a href=\"http:\/\/www.cbc.ca\/news\/business\/what-u-s-fed-chair-janet-yellen-doesn-t-know-don-pittis-1.3172413\" target=\"_blank\">What U.S. Fed chair Janet Yellen doesn&#8217;t know: Don Pittis<\/a><\/h3>\n<\/div>\n<p class=\"story-deck\"><strong>Continued risks to a U.S. and Canadian economic recovery keep us guessing about interest rates<\/strong><\/p>\n<p>If everyone is\u00a0so confident interest rates are going to go\u00a0up in the autumn, why doesn&#8217;t U.S. Federal Reserve chair Janet Yellen just say they are going to go up in September? The answer is risk.<\/p>\n<p>Before yesterday&#8217;s monetary policy statement from the Fed, released on paper without the benefit of\u00a0an explanatory news\u00a0conference, there was some speculation she would make that very\u00a0announcement. But that&#8217;s<a href=\"http:\/\/www.cbc.ca\/news\/business\/fed-points-to-improved-job-market-but-leaves-rates-unchanged-1.3172507\">not the way it turned out<\/a>.<\/p>\n<ul>\n<li><strong><a href=\"http:\/\/www.cbc.ca\/news\/business\/fed-points-to-improved-job-market-but-leaves-rates-unchanged-1.3172507\">Fed points to improved job market, but leaves rates unchanged<\/a><\/strong><\/li>\n<\/ul>\n<p>&#8220;The Fed effectively did\u00a0this in 2004&#8221; \u2014 putting the markets on notice that a move would come soon \u2014 &#8220;shortly before it last embarked on a rate-increasing cycle,&#8221; said the Financial Times in an article anticipating the central bank&#8217;s latest pronouncement.<\/p>\n<h2>Seeking hints<\/h2>\n<p>But instead, the people who read each statement to glean the smallest hints about what the Fed will do next were disappointed about how little information it contained. There was a little optimism and a little pessimism but there was one sentence that summed up the gist of the<a href=\"http:\/\/www.federalreserve.gov\/newsevents\/press\/monetary\/20150729a.htm\">538-word release<\/a>.<\/p>\n<p>&#8220;The Committee continues to see the risks to the outlook for economic activity,&#8221; said the statement unanimously agreed upon by Yellen and her advisors.<\/p>\n<p>As Prime Minister Stephen Harper and the industry he championed discovered, risks are events that seem to come out of nowhere. The oil price plunge, followed by a general collapse in commodities prices, in a matter of months\u00a0turned Canada from one of the world&#8217;s hottest economies into one on the verge of recession.<\/p>\n<p>In the case of the U.S. economy, there are similar events that could change what has been a relatively positive outlook.<\/p>\n<p>&nbsp;<\/p>\n<p>&#8230;click on the above link to read the rest of the article&#8230;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>What U.S. Fed chair Janet Yellen doesn&#8217;t know: Don Pittis Continued risks to a U.S. and Canadian economic recovery keep us guessing about interest rates If everyone is\u00a0so confident interest rates are going to go\u00a0up in the autumn, why doesn&#8217;t U.S. Federal Reserve chair Janet Yellen just say they are going to go up in [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[103,6315,3544,3000,4936,303,305,431,451,690,749,841],"class_list":["post-10540","post","type-post","status-publish","format-standard","hentry","category-economics","tag-canada","tag-canadian-economy","tag-cbc","tag-cbc-news","tag-don-pittis","tag-fed","tag-federal-reserve","tag-interest-rates","tag-janet-yellen","tag-risk","tag-stephen-harper","tag-us-economy"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/10540","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=10540"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/10540\/revisions"}],"predecessor-version":[{"id":10541,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/10540\/revisions\/10541"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=10540"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=10540"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=10540"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}