Many complaints about the Fed's inconsistent message has
surfaced of late. It's possible, that the Fed is facing some discord from
within. It's also possible, that the Fed is trying to keep everyone
guessing. In a recent posted titled, "Keep 'Em Guessing," I
argued that the Fed must keep every guessing once the boom is on.
Otherwise, the situation (i.e. prices) can easily go off the rails. This
will happen anyway, but they are trying their best to "manage" what
is a price. Price management or price controls have always failed and
will always lead to significant economic disruption.
The U.S. central bank is sending mixed messages on when
an interest rate hike will finally happen. The bankers better get their
communications strategy in order. Now.
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