FOMC Announcement Drift
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The Federal Open Market Committee (FOMC) meets eight days a year to determine monetary policy. Over time, the Liberty Street Economics blog noticed that US equity returns increased significantly in the 24 hours before each FOMC meeting. Intrigued? So were we. What would your return have been if you just traded on the eight FOMC days in 2015? FOMC Announcement Drift Index Year Source: Bloomberg, Liberty Street Economics
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Transcript of FOMC Announcement Drift
The Federal Open Market
Committee (FOMC) meets eight
days a year to determine monetary
policy. Over time, the Liberty Street
Economics blog noticed that
US equity returns increased
significantly in the 24 hours before
each FOMC meeting. Intrigued?
So were we. What would your
return have been if you just traded
on the eight FOMC days in 2015?
FOMC Announcement DriftIndex
Year
Source: Bloomberg, Liberty Street Economics