# Fed shifts into cautious policy mode as risks become more two-sided | Reuters

> The Federal Reserve is taking a more cautious policy stance as the risks to the economy become more two-sided. A New York Fed staff study suggested that the late start to rate hikes allowed growth to continue while inflation fell. Policymakers showed little willingness to declare victory or give firm guidance on the next move.

- Date: 2023-11-21 · published 2023-11-21T12:00:00.000Z
- Category: macro · region US · magnitude medium
- Page: https://feedsoft.ai/events/33075-fed-shifts-into-cautious-policy-mode-as-risks-become-more-two-sided-reuters
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

Uncertainty about the path of interest rates keeps the dollar and energy prices volatile, which feeds through to feed input costs. A cautious Fed reduces the chance of a sharp dollar move in either direction in the near term.

## Read by commodity

- DXY: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2022-08-17 | [Dollar pares gains as some Fed officials show caution on growth \| Reuters](https://feedsoft.ai/events/39940-dollar-pares-gains-as-some-fed-officials-show-caution-on-growth-reuters.md) | +1.1% | +2.3% |
| DXY | 2024-06-05 | [US dollar to weaken, but Fed rate cuts are required, say strategists:  Reuters poll](https://feedsoft.ai/events/29967-us-dollar-to-weaken-but-fed-rate-cuts-are-required-say-strategists-reuters-poll.md) | +1.1% | +0.9% |
| DXY | 2021-10-22 | [Powell says inflation risks rising, but Fed can be 'patient' \| AP News](https://feedsoft.ai/events/44436-powell-says-inflation-risks-rising-but-fed-can-be-patient-ap-news.md) | -0.2% | +1.4% |
| DXY | 2021-09-23 | [BoE sees growing case for rate rise as inflation to stay higher for longer \| Reuters](https://feedsoft.ai/events/45307-boe-sees-growing-case-for-rate-rise-as-inflation-to-stay-higher-for-longer.md) | +1.0% | -0.0% |
| DXY | 2025-11-09 | [Fed policy signals may guide commodities amid lack of US data](https://feedsoft.ai/events/21877-fed-policy-signals-may-guide-commodities-amid-lack-of-us-data.md) | -0.2% | -0.6% |

## Sources

- reuters.com: https://www.reuters.com/markets/us/fed-minutes-likely-anchor-careful-approach-policy-2023-11-21/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.