Federal Reserve issues FOMC statement
EST
Recent indicators suggest that economic activity has
continued to expand at a solid pace. The unemployment rate has
stabilized at a low level in recent months, and labor market
conditions remain solid. Inflation remains somewhat elevated.
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
are roughly in 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 4-1/4 to 4-1/2 percent. In
considering the extent and timing of additional 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 will continue reducing its holdings of Treasury
securities and agency debt and agency mortgageâbacked securities.
The Committee is strongly committed to supporting maximum employment
and 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; Michael S. Barr; Michelle W.
Bowman; Susan M. Collins; Lisa D. Cook; Austan D. Goolsbee; Philip N.
Jefferson; Adriana D. Kugler; Alberto G. Musalem; Jeffrey R. Schmid;
and Christopher J. Waller.
For media inquiries, please
email [email protected] or call 202-452-2955.
Implementation Note issued January 29, 2025 Last Update:
January 29, 2025