Here's the bad part in the Fed statement:
"With underlying inflation expected to be contained, the Committee believes that policy accommodation can be removed at a pace that is likely to be measured. Nonetheless, the Committee will respond to changes in economic prospects as needed to fulfill its obligation to maintain price stability."
Clearly the Fed has set up a possibility for a 50 bp hike with the "Nonetheless....." sentence. Noting that the committee will "respond" to "changes" to fulfill it's obligation for "price stbility."
And that means protection of the dollar to avoid oil prices rising out of control.....
All and all the "measured pace" language is getting a little shop worn..... And this market is so dependant on Fed policy to sustain it that it seems that a sub 10,000 Dow later this year is almost a certainty.
AND WHAT DOES "LIKELY TO BE MEASURED" MEAN.....? THAT LEAVES A BIG HOLE IN THE WALL STREET ARGUMENT THAT THE FED WILL CONTINUE WITH MORE OF THE SAME....!
