The Fed is having trouble conveying to the public how it will handle interest-rate changes moving forward

The Fed is having trouble conveying to the public how it will handle interest-rate changes moving forward. Minutes from the last FOMC meeting show Fed members struggled to figure out how to communicate the pace at which short-term rates are expected to go up. In fact, the Fed held a special meeting early in March to debate this very topic. Basically, the Fed wants investors to know rates may stay extremely low even after unemployment and inflation return to normal levels. That's because there may still be slack in the economy and higher borrowing costs could have adverse effects on growth. Perhaps most importantly, the Fed minutes release sent the major equities indices higher as investors appear to believe rates will remain at rock-bottom longer than previously thought.