Fed Whisperer: Fed Clearly Hawkish, Major Policy Statement Overhaul

Odaily reported that the “Fed Whisperer” Nick Timiraos commented on the Fed's interest rate decision: The latest dot plot shows a clear hawkish tilt. Among the 18 officials, nine expect at least one rate hike this year, with six even anticipating multiple rate increases. In contrast, only one official expects a rate cut this year; additionally, one participant (speculated to be Fed Chair Warsh) did not submit a Summary of Economic Projections (SEP).

Meanwhile, the Fed's policy statement underwent a comprehensive overhaul from start to finish, with the text length significantly shortened. Overall, the communication framework for this meeting has notably shifted, potentially leading to a recalibration of market expectations for the rate path. (Jin Shi)