Yellen!

• I don't see anything to suggest a negative outcome for the US
• We want to eventually operate with a much smaller balance sheet
• Fed studying long-run framework for balance sheet

On high yield:

• Spreads in high yield have been widening since 2014, partly due to oil
• Third Avenue was an unusual fund

On hike:

• We are starting early and gradually because we don't want to cause a recession
• We have considered the risk of moving too early
• Abrupt tightening is the usual reason central banks cause recessions
• This decision reflects our confidence in the US economy
• Longer term rates unlikely to move very much

On persistent 'transitory' inflation

• If we conclude structural factors are holding down inflation, we would take action
• We would need to see a sustained departure from 2% inflation goal
• Fed looks at range of inflation statistics

On the upside economic risks:

• US consumers are in healthier conditions
• Demographics point to considerable upside in housing and residential investment
• Recent growth in emerging markets have strengthened

On path of rates:

• Strongly doubt there will be evenly spaced rate hikes
• We will be data dependent
• Main reason we lowered our PCE forecast was stronger dollar
• I don't see interpretation of inflation and models as having fundamentally changed
• All forecasting models are "not perfect"

Wages:

• We may be seeing some insipient signs of wage growth
• I hate to say it's a firm trend, we've been disappointed in the past

So far, there have been no strong headlines in the press conference. Yellen is a master of speaking endlessly without saying anything meaningful.

Biggest joke of the day...GOLD.

VIX obliteration..... .engaged!
I feel like throwing up in my mouth a little bit watching this  charade!