The Fed FOMC Statement, A few items stand out.

Commentary from

The Distilled Perspective of Patrick T Bulger Analytics & Capital Management,

Quote 1) Uncertainty about the economic outlook remains elevated.

Quote 2) in light of the shift in the balance of risks

Quote 3) The Committee would be prepared to adjust the stance of monetary policy as appropriate if risks emerge that could impede the attainment of the Committee's goals

Quote 4) The Committee judges that reserve balances have declined to ample levels (What?)
and will initiate purchases of shorter-term Treasury securities as needed to maintain an ample supply of reserves on an ongoing basis.

1) Normally one increases to ample levels, not decreases...700 PhDs...?
2) If you're having to purchase treasuries, your levels are continuing to fall below ample...

I don't view falling levels nor continuation of falling levels as
being anywhere near stable or ample.

It sounds like elevated uncertainty as referred to in the opening of the statement.

My Summary,

risk rising,
reserves falling with
concern over continuation of falling.

For more on currently viewed risk conditions and your positioning,

Hit the "Ask" button at the top of the page to reach out.

Best,
PTB

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