The way I am reading today's release of the FOMC statement is more of the same - some on the FOMC are ready for tapering; some are not. Translation - we are back to watching the economic data releases and attempting to ferret out what is in the mind of these monetary masters from which the markets are begging their crumbs.
I still think that when it comes down to brass tacks, the key data is going to be the payrolls numbers. As far as the Fed is concerned, inflation is non-existent and thus there is no need, as of now, for them to cut back on the bond buying. What will tip the FOMC in favor of tapering sooner rather than later is strength in the jobs market and there is not a lot of that which I can see.
Part of the reason is this damnable Obama-care. It is a job killer and everyone in Washington, including the administration, which rammed it down our throats, knows it. That is the reason they gave the exemption or delay to corporate America in implementing this disaster.
Until this albatross is taken off the necks of the US job creation machine, I do not see any SHARP increases in hiring. Instead, I think we will see more of the same - mediocre increases in hiring which a large percentage of that in the form of part time jobs. ...