# Forward Guidance

*Macro & Economy — Finicade finance glossary*

A central bank steering the economy with words — signalling where rates are headed — so markets adjust today. When rates can't fall further, talk becomes a policy tool in its own right.

**Also known as:** anchored-expectations

**Related terms:** [Monetary Policy](https://finicade.com/glossary/monetary-policy), [Central Bank](https://finicade.com/glossary/central-bank), [Interest Rate](https://finicade.com/glossary/interest-rate)

**Taught in:** Macro & Markets — The Phillips Curve

Source: https://finicade.com/glossary/forward-guidance
