Warsh unlikely to release policy outline
After the Federal Reserve meeting concludes, it is expected that an important element will be absent: the dot plot that illustrates officials' forecasts for interest rates. There is speculation that the new chairman, Kevin Warsh, may refuse to present this chart, either because he is not yet ready to provide forecasts or because he opposes its use. This could be a first step toward fundamental changes in the central bank's policies. Experts believe that this reflects Warsh's desire to modify the communication approach with markets and to reduce the impact of forward guidance tools on monetary policy decisions.
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