Saywell: No Environment for Three Fed Hikes in 2017

The transcript discusses the potential for three rate hikes in 2017, with skepticism about their necessity given the current US economic environment. It highlights market reactions, particularly in relation to the dollar and yields, and includes Charles Evans' comments on inflation and the need for rate hikes. The debate centers on whether higher rates are needed as a precautionary measure. The discussion concludes with predictions about economic growth and potential catalysts for market changes.

What is the speaker's opinion on the likelihood of three rate hikes in 2017?

• They think it is unlikely.

• They think it will happen in 2018.

• They are unsure about it.

• They believe it is very likely.

What does Charles Evans emphasize about inflation?

• It needs to reach the Fed's objective to allow rate adjustments.

• It is not a priority for the Fed.

• It should be kept low to avoid economic overheating.

• It should be ignored in favor of focusing on employment.

Why does the Fed want to raise the federal funds rate according to Evans?

• To prepare for future economic downturns.

• To increase government revenue.

• To decrease inflation.

• To boost consumer spending.

What is the anticipated trend for US economic growth as discussed in the third section?

• It is expected to decline sharply.

• It is expected to slow down in Q4.

• It is expected to remain stable.

• It is expected to accelerate in Q4.

What could be a catalyst for changing yield expectations according to the speaker?

• The release of new economic data.

• An unexpected rise in inflation.

• A change in government policy.

• A sudden increase in consumer spending.