What does the author imply about the Federal Reserve's communication strategy?
El-Erian Says 'True to 2% Target' Fed Would Hike in June
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The transcript discusses the US economy's strong job creation, highlighting the dualism between manufacturing and services. It addresses the challenges the Federal Reserve faces in policy-making, especially in communication and market guidance. The discussion also covers expectations for a rate hike, emphasizing the importance of data dependency and the current economic indicators pointing to stronger-than-expected data.
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What is the significance of the 2% target mentioned in the text?
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