Waller: Hopes the market will price based on real economic conditions rather than following Federal Reserve interpretations.
Golden Ten Data, June 18 — Federal Reserve Chair Walsh said on Wednesday that he hopes financial markets can price securities based on their own judgments about the economy, rather than attempting to price according to expectations of how central bank officials will interpret the data. He stated: “The more markets focus on real changes in the economy and can judge for themselves which data is more important and which is relatively less so, the more likely they are to form their own most probable pricing.” He added that this can prevent a situation where “financial markets are merely reflecting what we have said.”
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