Ex-Treasury chief Larry Summers finds the Fed’s latest move ‘confusing’ and ‘disturbing’ – says the decision likely reflects the central bank’s internal politics

• The Fed’s move this week appears inconsistent, and may have been influenced by its internal politics, Larry Summers said.
• The Ex-Treasury chief told Bloomberg that he found the central bank’s late policy announcement confusing. 
• The Fed left rates unchanged this week, but signaled it may raise them twice more before year-end.

The Federal Reserve’s move this week to hold interest rates and signal future increases at once reflects an inconsistent approach that may have been influenced by the central bank’s internal politics, former Treasury Secretary Larry Summers said.  

“This meeting felt like it was driven as much by the internal political dynamics of the Fed, as by any consistent and coherent reading of the economic situation and that was a bit disturbing to me,” Summers told Bloomberg on Thursday, following the Fed’s FOMC meeting.