More from KC Fed hawk George: again more moderate than expected More from KC Fed hawk George: again more moderate than expected, she doesn't think the economy is ready for "normal" policy, but she's in favor of raising rates gradually, though she warned against losing sight of the potential for a policy mistake from waiting too long to lift rates. George sees inflation firming going forward, so long as oil stabilizes and she supports a move from zero rates, since waiting for perfect conditions for lift-off is not realistic. This is pretty much par for the hawkish course from her, though it just sounds like she's hedging a bit on global and inflation risks. George is a voter next year.
U.S. T-bill yields turned a bit choppy U.S. T-bill yields turned a bit choppy on House Speaker Boehner's resignation, which is presumed to have decreased odds of a government shutdown near-term. The 1-month bill jerked back up from a negative yield of about -0.031% (September lows) to highs of -0.0127% before steadying again near -0.02%. The 3-month T-bill yield snapped from -.005% lows to a high of 0.028% before reversing back into negative territory again. Yellen has stated that a government shutdown or other exogenous events could impact the Fed's lift-off timing.