A dot plot or dot chart consists of data points plotted on a graph. The Federal Reserve uses dot plots to show its predicted interest rate outlook. ... Their dot is in the center of the range.

The dot plot was invented in late 2011, at a time when Fed officials were considering how to prepare markets for the shift they hoped to make away from the unprecedented array of monetary support ...

The dot plot increases transparency over Fed operations, according to Julia Coronado, president and founder of MacroPolicy Perspectives, who used to work for the Fed’s board of governors.

Economists closely watch how the range of 19 estimates is shifting, because it can give a hint at where policy is heading. They fixate most intently on the middle dot, currently the 10th.

Every three months since January 2012, the Federal Reserve has sent analysts scurrying by updating its “dot plot,” which has become the de facto monetary policy forecast of the US central bank ...

Policymakers have held interest rates in a range of 5.25 to 5.5 percent since July 2023, after lifting them sharply starting in early 2022 as they battled rapid inflation. ... The dot plot, decoded.