New York Fed President William Dudley spoke at a roundtable in Plattsburgh, New York. He said the economic outlook was "pretty good" and that he wasn’t taking too much of a signal from low bond yields. He noted U.S. yields are relatively high compared with Japan and Europe and that the bond market is pricing in fewer rate hikes over the next two years than the fou the Fed has signalled. Dudley said the Fed has to keep raising interest rates to avoid having to move so rapidly in the future that the tightening might cause a recession. The dollar and Treasury yields moved higher on his comments.
House Speaker Paul Ryan is scheduled to deliver what is being billed as a major speech on the Republican Party’s tax plan tomorrow according to the Hill. He will address the the National Association of Manufacturers summit in Washington. HIs office said Ryan “will talk about what tax reform looks like, not just the benefits.”
President Trump will will meet with technology executives and ask for their help in modernizing government operations. Trump and his team believe that Washington has been too slow to adapt to the digital age and that the bureaucracy is hamstrung by outmoded technology. They want agencies to start taking advantage of new tools, including artificial intelligence, to address issues like fraudulent government spending.
Serving the West Side first, I am Bill Roller of BR Capital for 1360 KUIK.
