Tim Mazanec Fed Quotations

We are getting a consistent view from the Fed now that they are somewhat worried about the risk of a higher inflation rate. That is going to cause more rate hikes to come and higher yields will help the dollar.

There are continued expectations of more Fed rate increases, whereas with other central banks we may only see a one- off move here and there. The reasons to be in the dollar outweigh any other currency.

The risks for the dollar are probably pretty even going into this Fed meeting.

Even though the data has been inflationary and indicative of a stronger economy, comments from the Fed suggest they're going to wait and see.

If unit labor costs are not increasing as much as we initially expected, that would get the Fed to pause (rate hikes) sooner than expected.

The dollar should remain firm. The ECB may not be as aggressive as the Fed and that should lead to dollar gains in 2006.

Come the Fed meetings around April, May, June next year, this may have an impact.

The market's focused on the potential for the Fed to pause. That could be sooner rather than later.