Green Light District

Red light
Yellow light 
Green light
Go
--Def Leppard

Hedge fund legend Paul Tudor Jones follows his compadre Stan Druckenmiller in discussing the recklessness of current Fed policy and its ramifications on his investment approach. He points out that the Fed is being way more aggressive now than in 2013 (QE time) when monetary policy backdrop was much more benign (i.e., friendlier toward being aggressive). 

With the economy heating up and employment much more in balance now--not to mention the trillion$ already dumped into the system over the past year in CV19 'relief,' there are glaring inconsistencies in current Fed actions.

He also notes that the Fed's mandate, at least as policymakers discuss it, has shifted completely away from inflation-related 'price stability' to focus exclusively on 'full employment.' Talk about mission creep.

Or mission migration...

Jones suggests that if the Fed does not signal that they are treating recent data indicating hotter inflation with seriousness, then he'll take it as 'a green light to bet heavily on every inflation trade.'  

The latest FOMC statement will be released this afternoon. What will the rhetoric suggest?