3min chapter

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Will Janet Yellen Pull the Trigger? | Andy Constan

Forward Guidance

CHAPTER

The Fed's Tightening of Monetary Policy

Risk premiums have expanded as a result of the Fed tightening monetary policy. The VIX, or fear index, has risen in recent days due to concerns over Janet Yellen's economic policies. If she does not raise interest rates and inflation continues to go up, that would be concerning given her political mandate.

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