For the past 15 years, the Federal Reserve has been flooding the market with a deluge of statements, a phenomenon that can be described as a kind of "flood."
At a press conference in June 2020, then-Federal Reserve Chairman Jerome Powell answered approximately 15 questions, each averaging 400 words. In a press conference this September, Fed Chairman Walsh also answered 15 questions, but each answer was only about 100 words, setting a record for the shortest press conference in history.
Wash has long complained about the Fed's excessive talking, and now he is proving this point through his actions. By reducing verbal intervention and strengthening signaling, the market can fully interpret the intentions behind interest rate hikes without lengthy explanations.
In fact, the market ultimately pays more attention to concise statements; therefore, the length of the statement itself doesn't actually change anything.
