``"The growth data did disappoint in the first quarter so they are nervous about growth. With inflation, they might be a little less nervous. You have a reflation trade going on with the increase in TIPS inflation breakevens since the last FOMC meeting. This latest statement has not laid out a strong position for a June rate hike. It's a very close call in what they do in June. It's contingent on the jobs, inflation and wage data, which may or may not confirm their economic outlook. It's a Catch-22 in their intention to raise rates. The market senses that. That's why you see the market pricing in only one rate hike a year for the next four years. You want to hold government securities in your portfolio. There are still a lot of risks out there with China and Brexit. If those risks fail to materialize, yields will rise. If they materialize, yields will fall."''

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