The Post-Pause Portfolio

Though the Fed took a break from interest-rate hikes, its future moves are unclear. Investors may want to check out these strategies

Now what? On Aug. 8, the Federal Reserve finally gave Wall Street a long-awaited pause from interest-rate hikes, but so far, the markets haven't known what to make of it (see BusinessWeek.com, 8/8/06, "The Pause that Perplexes"). Did the Fed hike one too many times, endangering growth? Is it being foolhardy in the face of rising inflation? Either way, investors can take a few steps to protect their portfolios, as experts debate the meaning of the Fed's latest move.

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