Fed strives for a clear signal on interest rates – Hilserath

By FXStreet FXStreet (Bali) – According to Fed watcher Jon Hilserath, in his latest WSJ article, the Fed strives for a clear signal on interest rates.

Key Quotes

“The Fed’s uncertainty is contagious. A Wall Street Journal survey of market economists this month found that 64% believe the Fed will raise rates by December. Futures markets put the odds at 35%.”

“One cause of the confusion isn’t the fault of the central bank. The economy isn’t cooperating. With unemployment falling rapidly, Ms. Yellen and most of her colleagues began the year thinking the economy would be strong enough to lift rates.”

“The projections of a 2015 rate increase weren’t meant to be a commitment, but they were taken that way by many investors and commentators. As the likelihood of a move diminished, the Fed has looked like it was waffling.”
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Source:: FX Street