Available indicators suggest that economic activity has been expanding at a solid pace. Job gains have remained low, and the unemployment rate has shown some signs of stabilization. Inflation remains somewhat elevated, it said in a statement.
The Federal Open Market Committee (FOMC) seeks to achieve maximum employment and inflation at the rate of 2 per cent over the longer run.
Uncertainty about the economic outlook remains elevated. The Committee is attentive to the risks to both sides of its dual mandate.
The Committee will carefully assess incoming data, the evolving outlook, and the balance of risks, the statement said.
The Committee is strongly committed to supporting maximum employment and returning inflation to its 2 per cent objective, it said.
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 statement added.
Voting for the monetary policy action were Jerome H. Powell, Chair; John C. Williams, Vice Chair; Michael S. Barr; Michelle W. Bowman; Lisa D. Cook; Beth M. Hammack; Philip N. Jefferson; Neel Kashkari; Lorie K. Logan; and Anna Paulson. Voting against this action were Stephen I. Miran and Christopher J. Waller, who preferred to lower the target range for the federal funds rate by 25 basis points.
As per reports, Fed Chair Powell said he was confident that Fed can maintain its independence, amid a criminal indictment threat and pressure to cut rates from the Trump administration.
