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Glossary Query

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    Glossary Query

    For example... European stocks have outperformed US for a few years. If an investor looks at indicators as to whether they will do as well or better for the present... What is the word for that? Have heard the term "forward guidance" Hoping for a vocabulary lesson. Much thanks in advance for an informed reply


    Forward guidance is a term referring central banks guidance on the future course of monetary policy.

    From the US Federal reserve.

    many central banks communicate regularly and frequently with the public about the state of the economy, the economic outlook, and the likely future course of monetary policy. Communication about the likely future course of monetary policy is known as "forward guidance."

    When central banks provide forward guidance about the future course of monetary policy, individuals and businesses will use this information in making decisions about spending and investments. Thus, forward guidance about future policy can influence financial and economic conditions today.
    Link: The Fed - FAQs

    Good question. Its not in Websters online and it wasn't in my copy of Barrons either.
    Last edited by james.hendrickson; 12-15-2017, 07:30 AM. Reason: remove spacing


      On the Money site the recommendations for Buy Hold Sell are called Analyst Recommendations. Is that what you are looking for?