What could the Fed’s new policy mean for investors?

Invesco
By September 7, 2020 09:58

What could the Fed’s new policy mean for investors?

The Federal Reserve today announced an important change in its framework for conducting monetary policy in order to achieve its “statutory mandate from the Congress of promoting maximum employment, stable prices, and moderate long-term interest rates.” One of the main changes implemented today is that the Fed will now be targeting an inflation rate of 2% on average over time, permitting – indeed, even encouraging – periods of overshooting 2% to make up for previous undershoots. 

 

Invesco
By September 7, 2020 09:58

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