The Fed's new openness policy will create confusion, not clarity
Economists think that the Federal Reserve's new policy to be more transparent will only create noise and confusion in the markets
Economists think that the Federal Reserve's new policy to be more transparent will only create noise and confusion in the markets
By Joshua M. Brown, Guest blogger
UBS economists Maury Harris and Drew Matus address the new "openness" of the Fed and their desire to become more transparent with interest rate actions.聽 The concept gets a thumbs down on the grounds that it will probably be yet another noisy, misleading thing to disrupt markets:
Elsewhere, this new transparency is being likened to a form of QE3 in disguise says UniCredit and JPMorgan (via Pedro da Costa at Reuters).