Economics

Fed's Future Tightening Fraught with Recession, Political Risks

‘Nearly all’ officials see interest rates rising above neutral
JP Morgan’s Feroli sees Fed boosting rates four times in 2018

"Since September the markets believe the Fed a little bit more than in the past," says JPMorgan’s Anastasia Amoroso.Source: Bloomberg

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By Rich Miller

January 5, 2018 at 5:01 AM UTC

This article is for subscribers only.

Federal Reserve policy makers have abandoned the notion that they can bring the U.S. economy in for the perfect soft landing -- when inflation settles at its target, growth throttles back smoothly to trend and monetary policy shifts to neutral.

Instead, they’re prepared to step on the brakes.