The momentous, mysterious monetary U-turn by Federal Reserve Chairman Jerome Powell and his colleagues this week has spawned a host of conspiracy theories as to what’s really going on at the world’s most powerful central bank.
They range from the simple -– the Fed is capitulating to the demands of the financial markets and/or President Donald Trump for a halt in interest rate hikes -– to the more subtle: There’s been a policy regime change at the central bank and it’s now deliberately seeking to push inflation above its 2 percent target.
