Fed Following

At today’s press conference, Fed Chairwoman Yellen did away with forward guidance. Instead, she suggested that the Fed will rely on an array of lagging economic indicators to set policy. She is signaling that the Fed will keep interest rates exceptionally low and allow inflation to systematically exceed 2%; appropriately dovish policies. Separately, her suggestion that the stock market is not elevated will inevitably send it higher.

Share This Post
Facebook Twitter Email

Speak Your Mind


This site uses Akismet to reduce spam. Learn how your comment data is processed.