Powell Wants to Change How the Fed Communicates
- Fed chair nominee sees shortcomings in Fed ‘dot plot’ outlook
- Changes could help smooth relations with Republican lawmakers
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Federal Reserve Chair nominee Jerome Powell has likened central bank communication to a popular Far Side cartoon: A man chides his dog Ginger about rooting through the trash, but all the dog hears is “Blah, blah, Ginger, blah, blah blah.”
In the Fed’s case, investors focus on what policy makers say will happen with interest rates at their next meeting, and not on much else, he told a conference last November.