Central bank policy was top of mind on Wall Street on Thursday, but experts were divided in deciphering the path forward.
Less than a week before the next Federal Reserve meeting, the European Central Bank outlined an unusually pointed plan for weakening the euro. With other central banks loosening money supplies amid vacillating U.S. equity markets, the Fed is now faced with interpreting the health of U.S. economy — and matching interest rates accordingly.
Would signals of a potential recession cool the Fed's tightening? Or are equities simply uncoupled from an otherwise healthy U.S. economy — one that can withstand higher interest rates? Further, does a Fed move matter either way to the markets, with larger-scale tensions in commodity markets, in China and the Middle East?