Monday, September 17, 2007

What would your ideal Fed statement say?

Alright, I need to pick all of your brains here.

I am going to come up with my version of the ideal Fed statement for tmr's 《金手指》. Or at least one I would like to see the FOMC present tmr.

Anyone has any suggestions?

The Fed statement I have looked at has 3 parts of comments.

1. The general state of the economy
2. What the Fed think inflation is doing
3. What the Fed is predominately worried about going forward

Would love to see what you all think.


  1. My imagination:

    聯儲局公開市場委員會於十八日召開會議, 會上委員一致通過維持聯邦利率不變, 同時調低貼現窗利率0.5厘.

    聯儲局主席伯南克表示, 美國就業數據及零售數字近日雖稍見回落, 但未有証據顯示次按問題已擴散至美國經濟的基本層面, 亦未有跡象顯示美國經濟開始陷入衰退. 相反, 油價及原材料價格持續上升, 令美國面對日益嚴竣的通賬威脅, 情況備受聯儲局關注.

    伯南克承認次按問題令銀行間出現短暫資金短缺, 惟情況在上月聯儲局注資及調低貼現窗利率後已見受控, 今聯儲局再度調低貼現窗利率, 可望令銀行間之銀根緊拙問題得到進一步舒緩.

    最後, 伯南克重申, 聯儲局會密切注視次按有關問題之最新發展, 並在必要時採取適當行動, 以防美國經濟出現重大變化.

  2. On the economy, I think the Fed will say that despite the further slowing of the housing market and the recent credit crunch in the financial market, the overall economy is still in a pretty good state. As for inflation, I think the Fed will probably say that although the risk of a rapid rise in inflation is low, the current level of inflation is still some way off a desirable level. As for what the Fed will be predominately worried about, I think it will definitely be inflation. However, I think they will also mention about closely monitoring the credit crunch situation in order to avoid spreading the negative effects from the financial market to the rest of the economy. Hence the reason behind a 25 bps cut in Fed fund rates.

  3. Thanks folks...

    Your ideas helped me ALOT in writing tmr's piece.