Federal Reserve issues FOMC statement
EDT
Recent indicators suggest that economic activity has
continued to expand at a solid pace. Job gains have moderated, and the
unemployment rate has moved up but remains low. Inflation has eased
over the past year but remains somewhat elevated. In recent months,
there has been some further progress toward the Committee's 2 percent
inflation objective.
The Committee seeks to achieve
maximum employment and inflation at the rate of 2 percent over the
longer run. The Committee judges that the risks to achieving its
employment and inflation goals continue to move into better balance.
The economic outlook is uncertain, and the Committee is attentive to
the risks to both sides of its dual mandate.
In support of
its goals, the Committee decided to maintain the target range for the
federal funds rate at 5-1/4 to 5-1/2 percent. In considering any
adjustments to the target range for the federal funds rate, the
Committee will carefully assess incoming data, the evolving outlook,
and the balance of risks. The Committee does not expect it will be
appropriate to reduce the target range until it has gained greater
confidence that inflation is moving sustainably toward 2 percent. In
addition, the Committee will continue reducing its holdings of
Treasury securities and agency debt and agency mortgageâbacked
securities. The Committee is strongly committed to returning inflation
to its 2 percent objective.
In assessing the appropriate
stance of monetary policy, the Committee will continue to monitor the
implications of incoming information for the economic outlook. The
Committee would be prepared to adjust the stance of monetary policy as
appropriate if risks emerge that could impede the attainment of the
Committee's goals. The Committee's assessments will take into account
a wide range of information, including readings on labor market
conditions, inflation pressures and inflation expectations, and
financial and international developments.
Voting for the
monetary policy action were Jerome H. Powell, Chair; John C. Williams,
Vice Chair; Thomas I. Barkin; Michael S. Barr; Raphael W. Bostic;
Michelle W. Bowman; Lisa D. Cook; Mary C. Daly; Austan D. Goolsbee;
Philip N. Jefferson; Adriana D. Kugler; and Christopher J. Waller.
Austan D. Goolsbee voted as an alternate member at this meeting.
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Implementation Note issued July 31, 2024
Last Update: July 31, 2024