The Board of Governors of the Federal Reserve System began issuing public press releases on discount‑rate changes in the early 1960s. Initially brief statements simply noted rate adjustments, but by the mid‑1960s the releases began to include economic rationales such as inflationary pressure or balance‑of‑payments concerns. The December 1968 announcement, for example, explained that the rate rise was intended to curb rising inflation expectations and support a “policy of restraint.” Market participants and Federal Reserve officials recognized these releases as conveying the stance of monetary policy, and they often influenced expectations of future open‑market actions. Scholars have identified the December 1968 release as a significant tightening shock, demonstrating the role of discount‑rate announcements in communicating policy intentions during that era.
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