Monetary Policy Surprises and Monetary Policy Uncertainty

The current level of monetary policy uncertainty is low by historical standards. One important question is whether this low uncertainty–perhaps reflecting confidence among market participants–manifests in pronounced movements of medium- and long-term interest rates when a monetary policy surprise is delivered. This note provides empirical evidence suggesting the answer to this question is “yes”: after a monetary policy surprise, the reaction of medium- and long-term interest rates is more pronounced when the level of monetary policy uncertainty is low. In explaining this result, we find that after a given monetary policy surprise, primary dealers–key intermediaries in interest rate markets–tend to adjust their positions in the U.S. Treasury market and their exposures to interest rates more when the prevailing level of policy uncertainty is low than when it is high. Read More @ https://www.federalreserve.gov/econres/notes/feds-notes/monetary-policy-surprises-and-monetary-policy-uncertainty-20180518.htm

WHAT ARE THE MAJOR PAIRS CHARTS SAYING?

High Risk Investment Warning:

Please note that Forex and other leveraged trading involves significant risk of loss, It is not suitable for all traders and you should make sure you understand the risks involved, it is recommended that you seek an independent advice, if necessary.

2 Comments
  1. storno brzinol 7 months ago

    Hey there! This is my 1st comment here so I just wanted to give a quick shout out and tell you I truly enjoy reading through your blog posts. Can you suggest any other blogs/websites/forums that deal with the same subjects? Thank you so much!

  2. Europa-Road Kft 2 months ago

    Thanks for another magnificent post. Where else could anybody get that type of information in such a perfect way of writing? I’ve a presentation next week, and I am on the look for such information.

Leave a reply

Your email address will not be published. Required fields are marked *

*

CONTACT US

We're not around right now. But you can send us an email and we'll get back to you, asap.

Sending

FINWAZE makes no representations or warranties, express or implied, in relation to this website (www.finwaze.com) or the information and materials provided on this website. It does not also warrants that this website will be constantly available or available at all times. The information on this website is complete, true, accurate or non-misleading. Nothing on this website constitutes, or is meant to constitute, advice of any kind. FINWAZE shall not be liable for any damage or injury, whether direct or indirect, that it may cause in relation to the contents of, or use of, or otherwise in connection with this website. By using this website, you agree to the reasonableness of the limitations of liabilities herein set out and further agree to assume whatever risk, loss, damage or injury in may cause in connection to the use of this website. No claims shall be brought personally against the officers and employees of FINWAZE, in connection with the use of this website. The user of this website agree to the limitations of warranties and liabilities herein set out to protect the officers, employees, agents, subsidiaries, successors, assigns and sub-contractors as well as FINWAZE. Any unenforceable provisions that may be found on this website under applicable law shall not affect the enforceability of the other provisions.

Legal Documents  |  ©2022 Finwaze Philippines

Pin It on Pinterest

Share This

Log in with your credentials

Forgot your details?