Tag Archives: FOMC

FOMC Minutes Signal December Rate Hike

The Federal Open Market Committee continued to suggest it will raise the target federal funds rate again this year, according to minutes from the FOMC’s September 19-20 meeting. During the meeting, committee members decided to hold rates at 1 to 1.25 percent. The Committee will meet later this month and again in December. There was some confusion regarding sluggish inflation ...

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Fed to Begin Reducing Balance Sheet in October

The Federal Open Market Committee said it will begin reducing the Fed’s balance sheet in October, according to a statement from the committee released yesterday. The balance sheet is swollen with $4.5 trillion in securities purchased as part of quantitative easing programs between 2008 and 2014. The committee also decided to hold rates at 1 to 1.25 percent, citing “realized ...

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Fed Divided Over Timing of Next Rate Hike

The Federal Open Market Committee was divided over when it will next raise the target federal funds rate, which they decided to hold at 1 to 1.25 percent, according to minutes from the FOMC’s July 25-26 meeting. “Some” FOMC members expressed uncertainty about inflation, saying that the committee “could afford to be patient” in deciding when to raise rates, while ...

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FOMC: Balance Sheet Reduction to Begin ‘Soon’

At its meeting that concluded yesterday, the Federal Open Market Committee said it plans to begin “relatively soon” to reduce the Fed’s balance sheet, which is swollen with $4.5 trillion in securities purchased as part of quantitative easing programs between 2008 and 2014. According to a statement from the FOMC released yesterday, the committee said it expects to begin the ...

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Fed to Consider Shrinking Balance Sheet in Coming Months

The Federal Open Market Committee indicated support for continued gradual rate increases in minutes from their June 13-14 meeting. The Committee voted to lift rates 25 basis points in June and signaled one more hike in 2017 in updated projections. The minutes reflected continued division on the timing of shrinking the Fed’s balance sheet, though the Committee expects to begin ...

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Fed Outlines Plans for Swollen Balance Sheet

In addition to the rate hike announced today, the Federal Open Market Committee released a policy statement explaining how it plans to reduce the Fed's balance sheet, which is swollen with securities purchased as part of the quantitative easing programs between 2008 and 2014.

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Fed Raises Rates for Third Time in Six Months

The Federal Reserve Open Market Committee (FOMC) voted to raise the target range for the federal funds rate by 25 basis points to 1 to 1.25 percent. Like in March, the vote was near unanimous, with Minneapolis Fed President Neel Kashkari once again casting the only dissenting vote, wanting to hold rates steady. The projected policy path for the federal ...

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FOMC Articulates Continued Rationale for Gradual Rate Rise Plan

The Federal Open Market Committee yesterday released minutes illuminating its rationale at its May 2-3 meeting for holding the target federal funds rate at 0.75 to 1 percent but sticking to a plan for gradual rate increases throughout the year. The unanimous decision came in light of accelerating economic growth, which followed a notable slowing that prompted the committee to ...

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Fed Holds Rates Steady

The Federal Reserve Open Market Committee (FOMC) unanimously voted to hold the target range for the federal funds rate steady at 0.75 to 1 percent at their May meeting. The Committee had raised rates by 25 basis points at their previous meeting in March with the expectation of two more rate increases this year. The FOMC recognized that growth in ...

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