MONEY (MSM)

Why The Fed Is Likely to Stand Pat This Week

Speeches and interviews have made it fairly clear that Federal Reserve officials were building a case to begin normalizing interest rate policy as soon as this month, but they are increasingly wary that a misstep could derail the economy at a time when they perceive a lack of tools to address renewed weakness. Another concern related to the risk of premature policy tightening was the limited ability of monetary policy to