The statement leaves one believing that for the Fed, “the economy isn’t improving fast enough to warrant a shift in policy while the Fed continues to caveat observed improvements,” said Dan Greenhaus, chief global strategist at BTIG. “This recipe is one that leaves the Fed in a ‘Goldilocks holding pattern;’ Not hot enough to tighten, not cool enough to ease.”
Meanwhile the markets cheered because Dear (monetary) Leader said the Fed would be prepared to do more to support growth. You see, we are in a bizarre world where Goldilocks is now considered a mere impediment to the inflationary policy that needs to be injected at some point to keep the construct going. Wonderland is what it is. If it were something normal and organically functional, Goldilocks would be the best of all worlds. How transparent.