When Powell Speaks, People Listen; FOMC Statements Lose Clout-BBG

By Mitchell Martin
(Bloomberg) — Treasury yields have shown sharper reactions
to the press conferences after Fed policy meetings in recent
months than to the statements that precede them, a flip from the
traditional pattern, according to Ira F. Jersey and Angelo
Manolatos of the Bloomberg Intelligence interest rate team.

The magnitude of the moves in reaction to both events is
rising, higher in the last year than the previous two. The FOMC
minutes, released about three weeks after the meetings, have
shown little influence over Treasury prices. This indicates that
while the details may have value from an academic and analytical
perspective, there haven’t been any market-moving surprises.
Read more:
Fed Minutes Don’t Faze Yields, Press Conferences Pack Punch


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