Harrison: Hawkish Fed Stance Would Be a Surprise

The video discusses the Bank of Japan's (BOJ) yield target and its effects on global markets, highlighting the stability provided by the BOJ and the European Central Bank (ECB). It also examines the Federal Reserve's (Fed) rate hike plans for 2017, market reactions, and the Fed's focus on downside risks. The potential impact of Donald Trump's economic policies on future Fed actions is also considered.

What is the primary factor that the BOJ is monitoring to maintain its yield target?

• Global stock market trends

• Currency exchange rates

• Inflation expectations

• Real economic activity

Which two central banks are considered anchors of stability in the global market?

• ECB and Bank of England

• BOJ and People's Bank of China

• Federal Reserve and ECB

• BOJ and ECB

What is the expected number of rate hikes by the Federal Reserve in 2017 according to the dot plot?

• Four

• Three

• Two

• One

How has the market's perception of the Federal Reserve's 2017 path changed?

• It has become less credible

• It has become more credible

• It has become more aggressive

• It remains unchanged

What might influence the Federal Reserve's policy decisions in 2018?

• Global oil prices

• The ECB's monetary policy

• Changes in the Federal Reserve Board's composition

• The BOJ's yield target