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What is plotted on the dot plot? It’s a chart showing estimates of what the federal funds rate, the short-term interest rate controlled by the Fed, should be. Members of the rate-setting Federal ...
Fed policymakers make individual interest rate projections which are then represented as dots in a graph and indicate to market participants where rates may be heading.
The European Central Bank needs to improve how it communicates policy intentions and uncertainty, but copying the U.S. Federal Reserve's "dot plot" projection method is not a desirable option ...