The ongoing U.S. government shutdown has policymakers – and investors – operating without much of the timely official data that usually inform their decisions. This could have a tangible impact on Federal Reserve policy in particular: Without crucial information on inflation and labor markets, the Fed could take a more cautious approach to interest rate moves while it awaits more clarity on the state of the U.S. economy. A detailed review of the transcript of Fed Chair Jerome Powell’s press conference following last week’s Fed meeting suggests that the longer the shutdown drags on, the more the probability of a ... (full story)