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Description: The Federal Reserve is inching closer to revamping its communications strategy by stating more explicitly than ever before what would get officials to raise short-terms interest rates.

Source: Moneywatch.com – video report

Date: Nov 13, 2012

Link: http://on.wsj.com/QEUT6E

Questions for Discussions:

  • What are the implications for providing clearly defined triggers for interest rate changes?
  • Do you think investors would behave differently knowing that rates would change at specific economic reference points, such as unemployment levels?
  • Do you think analysts already “know” when the Fed will be ready to raise rates?

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