Fed Dots Ignored as Investors Focus on Yellen’s Message
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Investors trying to divine the outlook for Federal Reserve interest-rate moves are ignoring the dots and focusing on Chair Janet Yellen’s words.
Fed officials today released forecasts, represented as dots on charts, showing that starting next year interest-rates would rise from zero faster than previously expected. Equity markets rallied on Yellen’s pledge of monetary stimulus for as long as necessary to achieve the central bank’s goals.