I know I know, I have used this image before. I am an old hack who is unoriginal in his thoughts, but it’s Friday and this actual photograph of the Federal Reserve Board Chair Janet Yellen is an uncanny metaphor of her “hawkish” 23 page speech at the University of Massachusetts last night. Ms. Yellen said that the Fed will likely raise interest rates later this year (read: December) as a result of improvements in the labor market, and expects that inflation will tick up shortly afterward. (BTW: in economic speak, a hawk is generally someone who favors higher interest rates to keep inflation in check. Chair Yellen is insinuating that by raising interest rates, the chance of inflation spiking out of control will be mitigated.)
If you didn’t understand any of that besides “raise interest rates”, you got the point. Watch for interest rates to start coming up.