"Fed mouthpiece": Markets over-interpret Hamak's June interest rate cut remarks

Nick Timiraos, the Fed's mouthpiece, said Thursday's comments by Mr. Hamak had attracted widespread attention because some market participants had over-interpreted them as a signal that the Fed might be preparing to cut rates in June. Mr. Hamak did not really say that a June cut was coming, and when Mr. Hamak talked about a June cut, he mentioned the qualifier "if" twice: "If we get clear and convincing data by June, if we know which action is right at that point in time, then I think the committee will act." The danger of relying too heavily on these overly broad "if" assumptions is that they do not provide particularly clear answers.