- We have a consensus that we want to reach a neutral rate level
- But there is no consensus on what the neutral rate is
The door to a 75 bp rate hike next month is kept open, but the talk about the neutral rate is hardly convincing. In other words, they will simply rise until they see fit, then decide that said level will be the neutral rate when they can no longer rise.
This article was written by Justin Low at forexlive.com.