What is the Fed's reaction function?

The market reaction to Fed Chairman Yellen's speech has been asset price positive although it is likely that few have read the text. The...

What type of central bank is the Fed?

One of the confusions with monetary policy is determining the intentions of the central bank. With some many talking heads form the Fed, it ...

Time-dependent vs data-dependent Fed forward guidance

I did not have a good way of expressing how the Fed should convey information after the lift-off until I read the recent paper, "Langua...

A failure to communicate by the Fed?

I have been troubled by the Fed. In December, we had lift-off with an increase in rates. The Fed provided their forward guidance dot plots w...

Fed forecasts - Do you believe in a Goldilocks economy?

Looking at the projections of the Fed for 2016 and beyond can provide a starting point for private projections with the "big three...

Digesting the Fed rate increase - the dot frenzy

The Fed raised rates, no surprise.  The Fed acted, "Move along - nothing to see here".  This was the one of the most telegraphed F...