"Insecure Overachiever" Fed Officials Spur Tentative "Risk On" Move Ahead of U.S. CPI

Fed has been hinting tightening cycle is nearing its end

Highlights

• Failing to catch the inflation up-swing, Fed officials overcompensated on the other end...

• ... tightening financial market conditions have “overachieved” the Fed’s goals, and now it is changing its tune

• The stakes for today's U.S. CPI report have been lowered by this dynamic

• Meanwhile, U.K. GDP is running at a contractionary pace in Q3