El-Erian: Investors Less Comfortable With Effectiveness of Fed

The video explores the concept of losing an anchor in the market, focusing on the role of liquidity and the Federal Reserve's influence. It highlights the shift from market-wide phenomena to specific names and the growing discomfort with the Fed's liquidity effectiveness. The discussion also covers the Fed's press conference, emphasizing the lack of clarity on QE plans and the reliance on verbal guidance to assure investors. The video concludes with the implications of prolonged low interest rates and the need for clear QE guidance.

Why is the specificity around rates contrasted with the vagueness around QE significant?

What specific guidance did the Fed provide regarding interest rates?