by Daily Bell Staff
The Daily Bell
“Consistent with its statutory mandate, the Committee seeks to foster maximum employment and price stability … Against this backdrop, the Committee decided to maintain the target range for the federal funds rate at 1/4 to 1/2 percent. The stance of monetary policy remains accommodative, thereby supporting further improvement in labor market conditions and a return to 2 percent inflation.” – Fed press release following Wednesday FOMC meeting
The reality of the FOMC meeting on Wednesday and its subsequent – and sudden – dovishness generated considerable speculation.
From our perspective, the statement is one more piece of evidence regarding the creation of a new kind of central-bank oriented economy.
This New “21st Century Economy” features a tripartite stool of emergent monetary policies.
The stool is supported by three legs.