SHY - Rate Hike Pause: Why Did The Federal Reserve Change Its Tone?
By Kathy A Jones
The Federal Reserve's dovish turn at its policymaking meeting in January was a surprise for the markets. Citing "crosscurrents," Federal Reserve Chair Jerome Powell indicated that Fed monetary policy was on hold as the committee assesses economic conditions. Stocks and bonds rallied, with the riskiest sectors of the markets rallying the most.
Yet, only six weeks ago the Fed raised rates and indicated further tightening in policy was likely appropriate. What happened?
Slowing global economic growth
While a lot of people attributed the Fed's more-dovish tone to the drop in the