FOMC Minutes Show Many Members Believe Rates Should Rise Sooner

[thenews]

These are the minutes from when the Fed toned down deflation fears and raised concerns over labor slack, and expectations going in were for a slightly more hawkish tone from the minutes (and perhaps commentary on financial stability - bubbles - and exit strategies). This is what we got:

• *MANY FED OFFICIALS SAID JOB GAINS MIGHT BRING RATE RISE SOONER
• *FOMC AGREED BALANCE SHEET SHOULD BE CUT GRADUALLY, PREDICTABLY
• *SOME FOMC PARTICIPANTS MORE UNCOMFORTABLE WITH FORWARD GUIDANCE

Sounds pretty hawkish to us...

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