Wednesday, December 10, 2014

Fed Expected to Change Message on Rates

Just when market participants started to adjust to the Federal Reserve being on hold even longer than originally expected comes a potential twist.

When the central bank’s Open Market Committee meets in a week, it may change a key piece of language in the public statement it releases afterward, according to reports, including one Tuesday in The Wall Street Journal.

The critical words are “considerable period,” a phrase used to describe when the Fed will begin raising rates after the end of the monthly bond-buying program known as quantitative easing. QE, which expanded the Fed’s balance sheet past the $4.5 trillion mark, ended in October.

CNBC

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