The Fed’s Policies Have Gotten It in a Tangle

The New York Times: The markets have been sending out distress signals. Stock volatility has risen sharply and bond yields have fallen below zero in part of the world while rising sky high elsewhere — all indications of distress as Britain approaches a pivotal vote on whether to exit the European Union.

With turmoil like this, it’s easy to see why the Federal Reserve would stand pat on interest rates, as it did on Wednesday: safety first. With the global economy looking shaky, it must have seemed unwise to tighten the monetary policy screws further.

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