21 Mar 2014 Fed Chair Janet Yellen Connects the Dots
Posted at 12:47h in The Friday BriefJanet Yellen's first Federal Open Market Committee policy statement as Fed chair caused a bit of a ruckus in both the Treasury and stock markets. As experts have pointed out, it wasn't so much what she said, but rather what the "dots" portend for future interest rate hikes. There was no surprise when the Fed announced they would continue to reduce their monthly purchases of Treasuries by $10 billion per month to a still very large $55 billion starting in April. The sell-off of short and intermediate Treasuries was triggered, according to Barrons by a chart of projections showing FOMC members' expectations of where the fed funds rate would be at the end of 2015.