Don’t play Chess on a Checkerboard.

Regardless of your skills, using the wrong strategy or approach for a given situation is dangerous.

Fed Governor Waller spoke yesterday with a dovish tone, downplaying the significance of January’s inflation data, attributing it to historical anomalies and seasonal factors despite its unusual magnitude.

He also expressed little concern about the impact of tariffs on inflation, characterizing them as a one-time price adjustment rather than a driver of sustained inflationary pressure.

I disagree. Waller is playing Checkers on a Chessboard not the other way around. Time will tell and I hope he is right.

We are watching Japan and their unexpected kike of their central bank rate. Highest since 2009.

Rates are still holding onto gains the last week.

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