So, right now, markets are pricing at
terminal Fed funds rate, nominal of 2.5 percent.
Usually the risk of a recession really increase substantially when the Fed raises the Fed funds rate, the real Fed funds rate 50 basis points above
the terminal Fed funds rate.
Not exact matches
For instance, in January 2012 the
Fed's long - run view of the «median
terminal funds rate» was 4.25 %.