“The buzz coming out of last week’s Fed meeting was the Fed arriving at neutral. As we write in our weekly this past Friday, the neutral rate is an unknown. What matters most for the Fed will be the tightening of financial conditions and the impact on the economy, inflation expectations and ability to bring headline inflation in line. This past Friday’s PCE Deflator and ECI readings gives the Fed neither compelling nor convincing evidence inflation is cooperating. Another busy week ahead with Friday’s employment number the highlight”

Listen to Monday Minutes with Gregory Faranello, CFA–Head of U.S. Rates at AmeriVet Securities, Inc.