Provided the economy performs as well as Federal Reserve policymakers expect, the Fed will phase out large-scale asset purchases within the next 10 months. That’s a big “if” of course. The Fed has been projecting a stronger recovery each of the last four years, only to see growth average around a tepid 2%.
Concern has been growing among Federal Reserve officials that the Fed’s low interest rate policies are causing excessive risk-taking in search of higher yields, but that doesn’t mean the Fed is about to abandon its employment goals.
With the economy teetering on the edge of another recession, the Federal Reserve’s policymaking Federal Open Market Committee (FOMC) is riven with dissension, agnosticism and uncertainty about its own potency