The Federal Reserve had abandoned inflation targeting: What will happen if it returns to this policy?

When the Federal Reserve started to normalise its interest rates in 2015, we can consider that it reacted to the United States’ cyclical situation and that it abandoned inflation targeting, since wage inflation and core inflation remain low in the United States. We will therefore look at this novelty , i.e. that a central bank switches to an objective other than inflation: monitoring of the cycle or of nominal growth. But inflation and expected inflation now continue to fall in the United States, and the Federal Reserve rather shows a will to switch to a more expansionary monetary policy. If the Federal Reserve returns to inflation targeting, it would lead to a very marked fall in interest rates across all maturities in the United States , given the very low growth in unit labour costs.