The Federal Reserve Scenarios and How to Play Them: Trading Strategies

Here's how you can play the Fed decision depending on the scenario.
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TheStreet contributor Bradley Keoun wrote about the likelihood that the Fed hikes rates during the December meeting.

At a closed-door meeting in November, Fed officials discussed whether they might soon need to revise their pledge for "further gradual" rate increases, according to minutes of the discussion.

"Such a change would help to convey the committee's flexible approach in responding to changing economic circumstances," according to the minutes.

And in a recent speech, Powell himself said that interest rates, currently set in a range of 2% to 2.25%, were "just below" the broad range of estimates of a level that would be neutral for economic growth. The verbiage marked a shift from his comment in early October that rates were "a long way from neutral."

TheStreet's London Bureau Chief, Martin Baccardax, dove into the possible scenarios from the Fed meeting and how investors can play the market depending on the decision.