Nothing New From The Fed

The stock market was clearly disappointed with Ben Bernanke’s mid-year monetary policy report. The Fed chairman broke precious little new ground and generally just reiterated the forecast issued in the minutes of the June Federal Open Market Committee meeting. The problem with this line of reasoning is that economic conditions have deteriorated considerably since the Fed met in June and many private … The stock market was clearly disappointed with Ben Bernanke’s mid-year monetary policy report. The Fed chairman broke precious little new ground and generally just reiterated the forecast issued in the minutes of the June Federal Open Market Committee meeting. The problem with this line of reasoning is that economic conditions have deteriorated considerably since the Fed met in June and many private forecasters have scaled back their forecasts for second quarter real GDP growth by a full percentage point. Thank you for your interest in Wells Fargo’s Economic Commentary by email. You are receiving this message because you have requested Economic Commentary information and updates sent via email. If you no longer wish to receive these emails, please click on the following link to access the Economic Commentary by email registration page: http://www.wellsfargo.com/economicsemail.