I gave my thoughts on the Fed’s decision yesterday to CNBC:
“She is in no hurry to ‘normalize’ rates. She’s raising them today because she’s afraid that if she doesn’t, she might have to act more aggressively at some point in the future. But she also made it very clear that she’s going to remain very accommodative for quite a while to come. Bottom line, we might be sitting at 25 basis points for a while. What does this mean? It means the dollar might give back some of its recent gains. All else equal, it’s also good for the markets broadly. The Fed isn’t taking away the punch bowl. It’s just putting a little less booze in it. All in all, this is probably the best outcome we could have hoped for,” said Charles Sizemore, principal of Sizemore Capital.
See “Fed’s done, now traders look for Santa rally” for the full article.