Fed Fischer speech: Conclusion: slightly dovish tilt…

But.. ever so slightly…

New uncertainties and his ”3-4 hikes” from January 6th, 2016 looks gone now… This puts Fed @ 2-3 hikes, while market is 1 bid and offered….

Overall – impressive and charming Vice-Chairman Fisher…..but self-congratulation on central bank efforts remains a sad exercise…..considering they believe in inflation targeting they never succeed in hitting and that the “result” of lower for longer is far from clear or even possible to asses….

Market reaction/Trades: Should be good for RISK ON, although message was very small and weak… but definitely not the Fischer of early January… “3-4 hikes possible this year”…and very little confidence in Fed future action.

This is not the solution to the action so far in 2016, but the market will get a dose of: “… lower for much, much longer before end game is up…” – Got feeling this crisis mode will persist all the way to 2017, but that next phase is a “dead cat bounce” on focus moving from China to Fed and.