Every FOMC meeting, people watch the rate decision. Hold, cut, or hike. One number. It moves markets for a day.
The rate decision is the least informative thing the Fed releases.
Four times a year, the Fed also releases its Summary of Economic Projections. The SEP is the real signal. It is a window into what the committee actually believes about where the economy is heading and what policy path it thinks it needs to get inflation back to 2%.
Most people skip it. The people who read it carefully tend to see the market's next move before most others do.
The rate decision is the least informative thing the Fed releases.
Four times a year, the Fed also releases its Summary of Economic Projections. The SEP is the real signal. It is a window into what the committee actually believes about where the economy is heading and what policy path it thinks it needs to get inflation back to 2%.
Most people skip it. The people who read it carefully tend to see the market's next move before most others do.
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