What to Expect From the Federal Reserve in 2020

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Let's talk about the Federal Reserve.

They kicked off the FOMC meeting Tuesday, Dec. 10. 

The Federal Reserve is not expected to hike or cut rates during this meeting, in fact it's expected to hold rates steady. 

During the last three meetings, the central bank has cut rates. 

And it's expected that the Fed will indicate that rates will stay low for the foreseeable future. 

TheStreet's Tony Owusu and Nuveen's head of fixed income strategy, Tony Rodriguez, joined TheStreet to discuss the Fed.

When asked what clues investors should be looking for when it comes to figuring out the Fed's 2020 strategy, Rodriguez responded, "I think two things in particular that I'm going to look for are does he continue to talk about the bar being very high in order to raise rates because he did that at the last meeting. I think that's important to give the market comfort that they're not going to be raising rates. The market is still expecting possibly one cut. The other thing I'll be looking for is when you look at the summary of economic projections, do they begin to lower the terminal rate for the Fed funds rate? Because that, again, I think will give the market's comfort that this lower for longer interest rate environment is one that will be in certainly through 2020 but possibly even beyond." 

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