An ICYMI of the Federal Reserve
- Federal Reserve Chairman Jerome Powell is considering holding a press conference after every policy meeting rather than every other meeting
- At issue for the Fed: Since beginning press conferences in 2011, the central bank has fallen into the pattern of making major policy changes only at meetings followed by a news conference.
- The tactic has helped the Fed leader communicate its policy changes in more detail than its heavily scrutinized, jargon-filled postmeeting statement. But the practice has lulled markets into thinking the central bank won’t act between press conferences.
Westpac (Robert Rennie is Economist. Strategist. Head of Research.) on the news: