A 'Stealth Easing' by the Fed?

Despite some heavyweight industry opinion, there is no proof yet that the Federal Reserve is veering from its target for interest rates

Will the Federal Reserve rescue the economy and panicky financial markets by cutting interest rates? Some market commentators are arguing that it is already doing so, through an unannounced "stealth easing" of rates. These pundits note that although the Fed's stated target for the federal funds rate is still 5.25%, the actual rate has been averaging well below that this week. Economist Robert Brusca wrote Aug. 16 that: "At some point if this goes on for much longer the Fed will have no choice but to admit that it has eased."

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