Salient to Investors:
Tony Crescenzi at Pimco said the payroll data will keep the Fed on the taper trail.
Goldman Sachs said the FOMC will taper sooner than they had expected.
Michael Feroli at JPMorgan Chase now expects tapering to begin at the September FOMC meeting.
Lou Crandall at Wrightson ICAP said the jobs report reinforces the view that the Fed can start tapering in September without creating any presumptions about when the phase-out process will end, and July and August payrolls numbers would have to be really bad to derail a September tapering.
15% of economists expect tapering to start in October, 28% in December meeting, and 13% not until at least 2014.
John Silvia at Wells Fargo Securities said if the jobless rate does not begin to decline, the Fed may not end the program as early as Bernanke outlined, and can’t envision ending QE while the rate is still above 7 percent.
Read the full article at http://www.bloomberg.com/news/2013-07-05/bernanke-seen-holding-to-qe-tapering-plan-after-payrolls-report.html
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