... The nuance involved in predicting future in- terest rates comes from intuiting which indicators willexert the strongest in uence on the markets, which arebest correlated with future interest ... prevents a lot of whipsawing. In its fore-casting the Fed evaluates the level of economic activity,the future output gap, and the leading indicators of in a-tion. Using these inputs the Fed arrives ... earliest read. Then you need to be watch-ing for trends in these indicators. Are they showing mo-mentum in one direction or another? Are they pointing toa shift in direction?The key of course is...