JPMorgan's Michele: Fed Not Sure What to Look at

The transcript discusses the confusion in the market regarding employment status and interest rates. It highlights the lack of growth and inflation pressure, suggesting a slow path to rate normalization. International events like Brexit and China's economic data are considered, but their impact on the US economy is questioned. The role of central banks in market volatility and the Federal Reserve's cautious approach to rate hikes are examined, emphasizing the need for patience until inflationary pressures increase.

What is the main reason for the slow journey towards increasing interest rates according to the first section?

• Rapid economic growth

• High inflation pressure

• Strong employment levels

• Lack of growth and inflation pressure

Which international event is mentioned as having a limited impact on the US economy?

• Brexit

• The French election

• The German election

• The US presidential election

What is the role of central banks in maintaining market stability?

• Increasing interest rates rapidly

• Printing money and buying bonds

• Reducing the money supply

• Focusing solely on domestic policies

What has conditioned the market to expect the Federal Reserve to back off from rate hikes?

• Strong economic data

• Political stability

• Confusion and uncertainty

• High inflation rates

What is the Federal Reserve's stance on managing market expectations?

• They focus only on international events

• They ignore market expectations

• They are patient and cautious

• They are aggressive in their approach