Parsing the Fed Statement

The WSJ reported that "THE FED’S STATEMENTS reflect how the members of the central bank’s Federal Open Market Committee perceive the economy. The Aug. 8 statement announced that the Fed was keeping rates steady at 5.25%, its first pause after 17 increases in 17 meetings."

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The Fed is betting slower economic growth will ease currently high
rates of inflation. In its statement, though, it also took out a
reference to productivity gains’ chilling effect on price levels.


Pressing Pause
WSJ, Tuesday, Aug. 8, 2006

Category: Federal Reserve

The Dovish Pause

Category: Federal Reserve

Potential Outcomes of Fed Meeting

Category: Federal Reserve, Markets, Trading

What interest-rate action should the Fed take?

Category: Federal Reserve, Psychology

Are Economists Too Optimistic on Housing’s Soft Landing?

Category: Economy, Markets, Real Estate

What are Inflation Expectations?

Category: Federal Reserve, Inflation

Hey Bernanke, What Up?

Category: Federal Reserve, Psychology

A House Divided Is Good

Category: Markets, Politics

What are the Odds of a Recession?

Category: Economy, Employment, Federal Reserve, Investing, Markets, Psychology

Careful What You Wish For: Perhaps the Fed Should Raise After all

Category: Economy, Employment, Federal Reserve, Fixed Income/Interest Rates, Investing, Markets, Psychology