Wanna know why the market took a big giant nose dive at approxmiately 2:20 today?

The WSJ gives you a hint, in their now monthly parsing of the Fed:


I guess the market really didn’t like their use of the word "inflation."


"THE FEDERAL RESERVE’S STATEMENTS reflect how the members of the central bank’s Federal Open Market Committee perceive the economy. Their words have world-wide impact and the slightest changes are scrutinized for clues about where interest rates may be headed.The March 22 statement, issued after the second meeting of the year, announced that the Fed was raising its key short-term interest rate by one-quarter point to 2.75%, its seventh increase in a row, amid steady economic growth. While the Fed stuck to its pledge of "measured" rate increases, it also signaled a growing concern with inflationary pressures — though again observing that higher energy prices haven’t "notably" affected consumer prices. Below is a look at differences between the February statement and the March one." 

Watching Prices
WSJ, Mar. 22, 2005

Category: Economy

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

Comments are closed.