UBS On-Air: Market Moves

← UBS On-Air: Market Moves7. Sept. · 6 Min.

UBS On-Air: Paul Donovan Daily Audio 'Monetary policy and forever wars'

UBS On-Air: Paul Donovan Daily Audio 'Monetary policy and forever wars'7. Sept.6 Min.

Markets’ responses to last Friday’s US employment report rebuke US monetary policy communication. The report showed strong payrolls growth, but unemployment rates drifted very slowly higher. The labor market is not creating accelerating wages. Market rate hike expectations increased, but the decision is still essentially a coin toss. With a clearly communicated framework for monetary policy, markets would not be plagued by such indecision.