The investing implications are substantial.

Yardeni said the approach would be & ldquo wildly bullish& rdquo for alternative asset classes and in particular growth stocks and precious metals like gold and silver.  Guha said the Fed& rsquo s moves would see & ldquo real yields persistently lower, the dollar lower, volatility lower, credit spreads lower and equities higher.& rdquo

Investors have been making heavy bets that would be consistent with inflation: record highs in gold, sharp declines in the U.S. dollar and a rush into TIPS, or Treasury Inflation Protected Securities. TIPS funds have seen six consecutive weeks of net inflows of investor cash, including $1.9 billion and $1.5 billion respectively during the weeks of June 24 and July 1 and $271 million for the week ended July 29, according to Refinitiv.

Still, the Fed& rsquo s poor record in reaching its inflation target is raising doubts.

& ldquo If there& rsquo s any lesson that should have been learned by all the world& rsquo s central banks it& rsquo s that picking an inflation target is easy. Trying to actually get there is extraordinarily difficult,& rdquo said Peter Boockvar, chief investment officer at Bleakley Advisory Group. & ldquo Just manipulating interest rates doesn& rsquo t mean you get to some finger-in-the-air inflation rate that you choose.& rdquo

Boockvar doubts the wisdom of wanting to crank up inflation at a time when unemployment is so high    and the economic recovery in jeopardy.

& ldquo It doesn& rsquo t make any economic sense whatsoever,& rdquo he said. & ldquo The consumer is very fragile right now. The last thing we should be shooting for is a higher cost of living.& rdquo