It's Fed day in the US, and in the afternoon,
He's widely expected to say that the gas pedal remains press down for the foreseeable future.
Ben White at POLITICO passes this along in today's Morning Money newsletter:
HFE’s Jim O’Sullivan: “We expect the message on Fed policy, including QE3, will remain ‘full speed ahead’ in the
This is key.
While there's a lot of talk about when we'll finally see Fexit (a Fed exit from its unorthodox easing measures) Bernanke doesn't want to indulge in that. Even if he were thinking in his head about exiting, he wants to send the economy the message that if anything he'll overshoot, and let inflation go hot in order to get jobs down.
Eventually he may tighten, but for now the signaling should be that he's still going full throttle, even as the economy seems to be turning.