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Overview: Mon, September 16

Daily Agenda

Time Indicator/Event Comment
08:30Empire State mfgMild decline expected this month
11:00Fed outright Treasury coupon purchase

$1.625 billion purchase covering maturities of nine months and under

11:303- and 6-month bill auctionSteady at $45 billion and $42 billion respectively

US Economy

Federal Reserve and the Overnight Market

Treasury Finance

This Week's MMO

  • MMO for September 16, 2019

    A quarter-point rate cut is all but guaranteed at this week’s FOMC meeting.  Chair Powell is likely to view the strength in last week’s CPI as validation of the Fed’s decision to label earlier softness in prices as “transitory”, but not as an obstacle to a further adjustment in rates at this meeting.  The dot plot will be more dovish than the previous edition but less dovish than the path of policy implied by market expectations.  Chair Powell will yet again try to bridge that gap by emphasizing the heightened uncertainty in the outlook and the Fed’s determination to keep the expansion intact.

MMO Analysis