In Bond-Market Irony, Inflation Is Lower Than When Fed Eased

Updated on
  • Central bank may raise rates even as price gains trail target
  • Debt-buying helped generate jobs, while wage gains lag behind

Fed Decision-Day: Weighing the Impact

In September 2012, Fed policy makers found a bond-market measure predicting a 1.9 percent future inflation rate among the reasons to expand monetary stimulus by adding to their unprecedented bond-buying program.

To continue reading this article you must be a Bloomberg Professional Service Subscriber.