Plosser: The Fed Has No Real Strategy to Proceed

The transcript discusses the challenges faced by the Hawks at the FOMC in convincing the Doves to make a move. It highlights the Federal Reserve's lack of a clear strategy, leading to market speculation and credibility issues. The Fed's inconsistent actions and data dependence are examined, with markets often predicting the Fed's reactions based on past behavior.

In what ways has the Federal Reserve's communication impacted its data dependency perception?

What does the market's prediction about the Fed's reaction indicate about past behaviors?