"If you want to know the trouble with a balanced outlook, ask a tightrope walker." The opening sentence to James Mackintosh's article in today's @WSJ on the #FederalReserve. #economy #markets #centralbanks #Fed #econtwitter @jmackin2

Central banks continue to feature heavily in the weekly look ahead for the economy and markets, including: Policy meetings in the UK, Australia, Brazil, Malaysia, Mexico, Peru, Sweden, and elsewhere; and Lots of scheduled remarks from #FederalReserve and @ECB officials. Also,…

#Fed Governor Bowman doesn't see the labor market coming into better balance (??) & remains open to rate hikes. ⚠️I discuss the policy risks of being excessively data-dependent & laser focused on getting back to 2% quickly in my recent newsletter: www.linkedin.com/pulse/fight-worth-prize-gregory-daco-pziyf/?trackingId=IzcCxUrUQWuwVizM4duaJQ%3D%3D pic.twitter.com/8RnGikPUF1

Instead of focusing on the ISM Services Index plunging into #recession territory, with pronounced weakness in employment, investors focused on the surging prices paid component. They missed the point that #recession will prevent the #Fed from raising rates to fight #inflation.