Fed Speak

Fed Speak

Informal term for the statements made by former Federal Reserve Chairman Alan Greenspan. Greenspan was known to make long, vague statements on future changes in Federal Reserve policy; it was speculated he did so on purpose to prevent overreactions to his statements in the stock market. Analysts spent a great deal of time and energy trying to decipher Fed Speak. Some even analyzed (only half-jokingly) what Greenspan would say in his reports to Congress by judging the size of his briefcase.
References in periodicals archive ?
"The early 2019 Fed speak of a 'patient' stance toward rate increases has shifted to the Fed messaging of 'appropriate action' to sustain the expansion 6 i.e., cut rates if the economy slows," he said.
'With no follow-up presser, additional Fed speak and the release of the minutes on May 23 will provide more clarity, and given the robust US economic data, the balance of risk remains for it to keep policy on track,' he said in a note today.
"With less than a 50 percent December rate hike probability priced in, and with no supportive Fed speak on the calendar before July 26th, the dollar could struggle." U.S.
'The backdrop of generally hawkish Fed speak that has pushed Fed (interest rate) hike expectations for this year to about 65 percent from about 40 percent earlier this month.
Instead, however good its intentions, the net effect of too much Fed speak has been vagueness and uncertainty.
The Fed's policy statements since June when the Fed left rates at 2%, and subsequent Fed speak, have suggested policymakers as well are hesitant to knock rate down any further.
Herbert made a gift of the book to his eight-year-old son with the following inscription: "May this my initial effort with a constant thought of you branch out into an endless chain of similar efforts so that at your maturity you may look back and endeavor to interpret the reasoning behind these logical forecasts and begin a life work of your own." Perhaps that gift set Greenspan on the course of economic study; perhaps it "also set the stage for "Fed speak."
'The backdrop of generally hawkish Fed speak that has pushed Fed hike expectations for this year to about 65 percent from about 40 percent earlier this month.
US equity investors decided last night that the better economic data coming through suggests that the economy can support a 25-basis points rise in early summer..Conversely, the oil price rallied on weaker supply rumblings and investors can expect more Fed speak to support a possible hike as three more officials speak (Thursday), said Luis Gerardo Limlingan, managing director at stock brokerage Regina Capital Development.
Top Technical Analyst: When The Fed Speaks, Sometimes It's Pure BS
Louis Wall, president and CEO of SagamoreHill, told the paper the FCC's meeting has him nervous: "We are a government-regulated business, so when the Fed speaks, we have to listen.
The Fed speaks as if it believes there is no liquidity trap, tying the persistence and level of quantitative easing to attainment of an unemployment rate at or below 6.5 percent, substantially below the current rate of 7.5 percent.