FOMC statement

FOMC Leaves Its Monetary Policy As Is

May 3, 2017

The post-meeting FOMC press release didn’t contain any news to move markets much one way or the other. Regarding U.S. economic conditions, slower growth last quarter is considered “likely to be transitory,” and there’s been no change in the committee’s projection of moderately-paced economic growth with roughly balanced risks. On-year inflation is already just slightly […] More

FOMC Statement Omits Any Definitive Sign that December Rate Hike is Mostly Baked

November 2, 2016

Today’s was a meeting without a scheduled press conference, and the lack of a policy change eliminated any need for a change of plans in that regard. My preview mentioned that the statement might say something definitive about its December meeting; that didn’t happen. In today’s statement, some tweaks were made to the opening paragraph […] More

A More Hawkish FOMC Statement than Some Were Expecting

January 27, 2016

The January FOMC statement is neither all hawkish nor noticeably more dovish than the one released six weeks ago when the first federal funds rate hike since June 2006 was made.  Considering the disappointing economic data and wildly tumultuous financial and commodity market movement during the interim, the surprise is that the statement still implies […] More

FOMC Statement and Press Conference

June 17, 2015

Today’s statement and press conference identifies progress toward each of its mandates of full employment and 2.0% inflation in the PCE deflator occurred since its late April meeting but not enough to warrant an initial federal funds rate hike.  The funds target range remains at 0.0-0.25%.  A map was not supplied to know exactly when […] More

FOMC Preview

June 17, 2015

Federal Reserve officials have gradually modified their forward policy guidance, with three messages in mind: Policy will be data driven and not constrained to any pre-conceived timetable. The first rate hike would not occur before this June meeting but could happen anytime from that meeting onward. Once the first rate increase is done, subsequent changes […] More

FOMC Statement

January 28, 2015

The January 27-28 monetary policy statement from the Federal Open Market Committee carried no dissents, unlike the previous statement in which R. Fisher, Plosser and Kocherlakota each had some sort of disagreement with the majority.  The statement upgrades the pace of the economic expansion to solid, observes a further decline in labor market underutilization, predicts […] More

Spotlight Today Belongs to Central Banks

January 28, 2015

Financial markets await the FOMC statement due at 14:00 EST (19:00 GMT).  Meaningful changes are not anticipated.  No press conference is scheduled afterward. The Monetary Authority of Singapore (MAS) tweaked monetary policy after its first unscheduled policy meeting in thirteen years.  Ordinarily policy, which is oriented around the management of the currency rather than a […] More

FOMC Statement: Some Observations

December 17, 2014

The statement released after the FOMC’s eighth and final meeting of 2014 expressed more optimism in labor market trends, deleting the qualifying adjective “somewhat” from improving labor market conditions and replacing “gradually diminishing” with “continues to diminish” in the comment about underutilization of labor resources. Sub-target inflation attributed only “partly” to declining energy prices, meaning […] More

FOMC Statement Doesn’t Rock the Boat

October 30, 2013

Today’s statement from the FOMC announces no changes in policy settings and the same forward guidance as before.  One finds in the document very few modifications from the previous statement released September 18.  Here are four. The word “generally” has been added to the assertion that information since the prior meeting suggests economic activity has […] More

Today’s FOMC Statement

March 20, 2013

Today’s statement from the Federal Open Market Committee repeated the January 30th statement in most respects, including The retention of all existing interest rate and quantitative monetary policy settings. The retention of the same economic data-driven policy guidelines for the future of the federal funds target.  These are thresholds, not targets that would automatically necessitate […] More