The Prospects of Fed Rate Hikes in 2017

The video discusses the Federal Reserve's approach to managing interest rate hikes and the balance sheet. It highlights the Fed's strategy to normalize rates while minimizing market distress. The discussion includes adjustments in economic forecasts and the timing of balance sheet changes, with a focus on maintaining unemployment rates within target levels.

What is the significance of the phrase 'walking and chewing gum' in the context of the Fed's policies?

What are the implications of the Fed's decision to raise rates while also shrinking the balance sheet?

How does the Fed plan to ease the pain in the market during the unwinding process?

What factors led to the adjustment of the forecast regarding the balance sheet?

In what ways does the current unemployment rate affect the Fed's decisions?