At almost exactly this time last year US Federal Reserve chairman Janet Yellen stated that the central bank would stop using unemployment as a target to determine interest rate rises. Back then it was anticipated a hike in US rates would only happen at some point this year. Fast forward to 18 March 2015 and the Federal Reserve Open Market Committee (FOMC) dropped its ‘patient’ pledge on rates contained in a previous statement this January – but still remains cautious.

The immediate market reaction after the official press release regarding the statement of the FOMC, one of three Fed tools controlling monetary policy, saw US stocks and Treasuries rally…

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