The Fed Flies in the Dark

When the Federal Reserve’s rate-setting committee gathers for one of its two-day meetings, it is usually pretty clear ahead of time what it is going to do. In an era of greater central-bank transparency, Fed policy makers have usually telegraphed their intentions. Investors have also generally been able to take a look at what is going on with the economy to make an educated guess.

But the meeting that will conclude Wednesday isn’t like that. Worries about the banking system have upended the central bank’s plans, and heading into their meeting on Tuesday policy makers themselves might not have known what they would decide.