EFTA Document EFTA01450608

guidance to date--that market expectations about the Fed funds rate do not look unreasonable. (80%) 2) Taper by only a modest amount initially. (85%) 1) Re-emphasize their existing forward guidance, i.e., that they might not begin to raise rates until unemployment is well below the 6.5 threshold, depending on what the overall picture in the labor market, growth, and inflation looks like. (90%) In brief, a taper is likely to be accompanied by a statement and press conference that reinforc