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Opinion: What Bullard got wrong about a 7% fed funds rate (and why he said it anyway)

Por: MarketWatch Politics November 17, 2022

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“ Tightening monetary policy isn’t just about raising interest rates anymore; it’s also about reducing the Fed’s balance sheet and about forward guidance.” First some background, and then I’ll explain what the Fed official got wrong.Bullard’s speech St. Louis Fed President James Bullard said Thursday that the federal funds rate — now in a range of 3.75% to 4% — would probably have to rise much further to put a damper on... + full article



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