The Fed’s tune has changed

WSJ:

Stocks rallied Friday after Federal Reserve Chairman Jerome Powell said mild inflation gives the central bank greater flexibility to set policy in the year ahead and that the Fed wasn’t on a fixed path to push its benchmark interest rate higher. “With the muted inflation readings that we’ve seen coming in, we will be patient as we watch to see how the economy evolves,” he said

A heck of a turnabout, but not at all unexpected. In other news, this sort of charm and civility will be Rule #1 this year.

One Response to “The Fed’s tune has changed”

  1. feeblemind Says:

    Do you think Powell has been intimidated by Trump’s rhetoric, or is it something else that has changed his tune?

    Charm & Civility?? Yeah . . . At least the next six months should be interesting to watch. It’s like a bunch of crazies have been seated in the House.

    One wonders how much of this is theater and how much of their rhetoric they really believe?

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