Analysts say that to avoid a recurrence of such adverse reactions, markets need to see 2  BIS central bankers’ speeches  more cohesiveness in the policy measures from Chinese authorities, as well as clarity in their communication. In the US, the Fed, in December 2015, determined that the US labor market conditions and inflation outlook already warranted “lift off”.
Based on the assessment of the FOMC members then, the Fed was projected to raise its target rate by 100 basis points in 2016. But more recent statements of some Fed governors now reveal less conviction in terms of the speed and magnitude of normalization of its policy.