FOMC Statement – FED
WSJ’s statement tracker – WSJ
Parsing the Fed: How the Statement Changed – WSJ
Fed Stays Course – Marc to Market
Fed will reduce the
long-term assets it purchases by another $10 bln in February. That will bring its purchases to $65 bln a
month, which is still about 50% larger than QE3 when it was initially
announced, before Operation Twist purchases were folded into it. Notably there were not dissents.
It is the first unanimous result since 2011.
The Fed tapers another USD10bn and recognizes
recent pick-up in growth – Danske
Bank
Hilsenrath Takeaways: Fed Sets Bar on Tapering – WSJ
Fed Foward-Guidance Fallacies And The
Untenable Status Quo – ZH
Fed To Emerging Markets: "Hasta La Vista,
Baby" – ZH
Citi's Steven
Englander:
Now Comes the Hard Part – WSJ
“Don’t fight the Fed,”
was a popular saying these past few years, when the market was going up. The
saying is just as valid now that the market’s going down.
Recap: Fed Statement, Market Reactions – WSJ
The Fed Erred in Ignoring Emerging Markets – WSJ
The Fed’s converging misses on inflation and
unemployment – alphaville
/ FT
Citing Growth, Fed Again Cuts Monthly Bond
Purchases – NYT
And The Taper Continues – Tim
Duy’s Fed Watch
But what seems more
clear is that the US is about to be hit by another disinflationary shock. That deserves careful attention, because
inflation, I think, is at this moment the most important variable to watch as
far as Fed policy is concerned. The Fed
is pushing forward with tapering on only the forecast of future inflation. That forecast appears under threat.
In Bernanke's final act, Fed cuts stimulus
despite market turmoil – Reuters
Fed to stay the course on tapering, end QE by
year end – Reuters
Analysis: Only time will define Bernanke's
crisis-era legacy at Fed – Reuters
Early assessments have
been mostly positive. The former Princeton
professor has been praised as the steady hand who helped steer the United States and world economies clear of a far more
painful recession.