In this column, you will read the key points of the US Federal meeting minutes. On Tuesday, November 21, 2023, i.e. yesterday, the FOMC meeting was released showing the commitment was focusing on how higher interest rates were starting to consolidate households and businesses. Meanwhile, the officials of the US Federal Reserve agreed to proceed carefully at their latest policy meeting but they will only raise interest rates on the condition that the progress in controlling inflation sputtered. As mentioned, we have poured in the key points of US Fed meeting minutes in this article, you are asked to stick with this page and go through this article till the end for more information. Swipe down the page.
Fed Shifts Into Cautious Policy Mode
The Federal Open Market Committee emphasized on how higher interest rates were squeezing households and businesses, in the minutes of the Oct 31-Nov 1 FOMC meeting on Tuesday, November 21, 2023. Talking about the key points of the meeting, the officials of the US Fed unanimously chose to keep the benchmark lending rate the same in the range of 5.25 percent to 5.5 percent for the second time in a row. The participants of the meeting agreed that FOMC was in a position to proceed carefully and the meeting’s decision would based on the incoming information, economic outlook, and the balance of risks. Swipe down the page and read more details.
The minutes of the meeting also witnessed that tightening monetary policy would be right if incoming information showed that progress toward the committee’s inflation objective was inadequate. Meanwhile, the participants of the meeting thought that it would be right for the policy to hold a restrictive stance at that time until the inflation starts moving down toward the committee’s objective. Further, they also observed that the continued reduction in the size of the Fed Reserve’s balance sheet was imperative to achieve the macroeconomic objectives.
However, some participants of the meeting thought that the process of balance sheet runoff could continue for some time. To adjust the stance of monetary policy the members would be ready as appropriate if risks arise that could impede the achievement of the goals set by the committee. Participants also agreed that their reviews would take into account a wide range of information, including inflation pressures, readings on labor market conditions, financial and international developments, and inflation expectations. Stay tuned to this website for more details.