The Fed delivered no news for markets in this evenings FOMC meeting even if both Kaplan and Kashkari decided to vote against the consensus. Kaplan earlier warned that a 2.25 to 2.375% inflation would make the Fed hawkish and hence opted for a semi-hawkish approach while Kashkari approached it from the 10-year dovish side. If inflation is not 2% over time, we will buy everything from bonds to second hand cars seems to be his approach. The fluffy AIT-regime remains fully in place, which means that inflation can overshoot for the coming 5 years, but who knows by how much. If we look at a 5-10-year average of the PCE ... (full story)