- Dot chart of Fed forecasts is beginning of communication evolution (WTF?)
- QE ending so language in policy needs adjusting
- Quarterly changes in FOMC rate forecasts are important
Forward guidance, dots, what’s next, coloured smoke over the Federal Reserve building like the Vatican?
- Justifiable reasons why angst over economy remains
- Monetary policy cannot solve problems in the labour market
- Not too concerned with PCE inflation being a bit below 2% target, important to remain committed to Fed 2% price goal
