Former Fed Member Asks CB to Bring Back Dead FOMCs

The U.S. Federal Reserve has a zombie problem.

Each year, the Fed sets the course of monetary policy at eight regularly scheduled meetings of its Federal Open Market Committee. Chair Janet Yellen holds a press briefing after only four of them.

Fed watchers widely believe that when policy meetings aren’t followed by a Yellen news conference (as the upcoming meeting on Nov. 1-2 won’t be), the Fed is unlikely to take any significant action. So the press-conference meetings are viewed as “live” and the non-press-conference meetings are viewed as “dead.”

Of course, policymakers insist that all meetings are live, but that’s just viewed as another less-than-credible statement from the Fed.

via Bloomberg

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza