Federal Reserve officials next week are likely to paint a robust picture on the economy while simultaneously not even hinting at policy changes ahead.
Investors increasingly have come to trust central bankers when they say that even with the economy running at its hottest pace in nearly 40 years, they won’t start taking away policy accommodation until it’s clear the recovery is on solid ground.
“The economic outlook is fairly good, as long the Fed keeps its foot on the pedal,” said Randy Frederick, vice president of trading and derivatives at Charles Schwab. “The market has finally accepted that they will.”
