Fed to reveal new projections with investors on alert for rate liftoff timing
Sept 20 (Reuters) – U.S. Federal Reserve officials will lay bare how soon and how often they think the economy will need interest rates rises over the next three years when they release new forecasts at their policy meeting on Wednesday, with investors on alert for a faster pace of tightening.
The so-called “dot plot,” released quarterly, charts policymakers projections, on an anonymous basis, for economic growth, employment and inflation, as well as the timing of interest rate rises.
It will show whether most are sticking to recently expressed views that the Delta variant of the coronavirus, which has dented economic activity, will have a short-lived effect on the recovery despite the current turbulence and uncertainty it is causing. This week’s set of dots also will include policymakers’ forecasts for 2024 for the first time.
Interest rates have been near zero since the beginning of the COVID-19 pandemic with the Fed vowing not to…
