Most would expect that point to be seriously acknowledged in every rational well-considered politic-free Fed decision-making process.
But with JY, who can tell? Rate rise in Dec15, then the lady did say just a bit too much about ZIRP and NIRP a couple of months later.
US largest 4 bankers would throw up their hands in despair if she does raise rates tomorrow because that would indeed be bad news for them.
"Finally, in a problem that would be especially acute in the U.S., negative rates could send a jolt through the $2.75 trillion money market space and, some fear, lead to a "break the buck" scenario that occurred during the financial crisis when one large money market fund couldn't return par on its investments." (Same source as above quote.)
R.
BDR Price at posting:
30.0¢ Sentiment: Hold Disclosure: Held