Fed’s Wait-and-See Posture Tested by Spread of Coronavirus

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Fed’s Wait-and-See Posture Tested by Spread of Coronavirus
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The potential for a global coronavirus outbreak is again putting the Federal Reserve in a delicate spot.

WASHINGTON—Markets and global events are giving central bankers a case of déjà vu.

Last year the threat of a growth downturn exacerbated by trade uncertainty prompted the Federal Reserve to cut interest rates. Now, the potential for a global coronavirus outbreak is again putting the Fed in a delicate spot.

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