(an email exchange)
>Ãƒâ€šÃ‚Â Ãƒâ€šÃ‚Â On Tue, Jun 10, 2008 at 8:12 AM, anonymous wrote:
> Ãƒâ€šÃ‚Â Fisher’s remark induces one to wonder if Ambrose Evans-Pritchard is
>Ãƒâ€šÃ‚Â Ãƒâ€šÃ‚Â correct in stating that Fed policy is now being concocted from Dallas.
>Ãƒâ€šÃ‚Â Ãƒâ€šÃ‚Â The recent spate of criticism directed at Bernanke and Fed doves by
> Ãƒâ€šÃ‚Â various current and past Fed officials, including Paul Volcker, implies
> Ãƒâ€šÃ‚Â that there has been a revolt within the Fed. Mishkin’s resignation
> Ãƒâ€šÃ‚Â supports the view that the hawks have won.
Agreed. I’ve been calling it a ‘palace revolt’.
Bernanke’s limit was inflation expectations as anticipated back in August, but he let it go a lot further than I thought he would.
The dallas crew is confused on a lot of things as well, but inflation expectations are the unifying force of the FOMC right now. When Yellen cried uncle, that was my signal.