What to expect in the Fed decision from Deutsche Bank’s Alan Ruskin:
DB’s econ team expects the median dots to come down by
25bps for all of 2016, 2017, 2018 and the longer-run. Prima facie this may seem
dovish but the dots will have to come down by more than this, especially the
2016 dot, to be seen as genuinely bullish, because the market is pricing in so
much less than the Fed projects. The market has less tightening priced in for
the end of 2018 than the Dec FOMC median dot for the end of 2016!
