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According to the minutes from the Federal Open Market Committee (FOMC) meeting on September 16-17, most believed that additional easing of [monetary] policy during the rest of this year would probably be suitable.
After the meeting, the Fed, as anticipated, reduced the federal funds rate by 25 basis points (bps) to 4-4.25%. Every FOMC member was in favor of this action, apart from Stephen Miran, who proposed a reduction of 50 bps.
Simultaneously, multiple attendees of the meeting remarked that maintaining the rate as is would be sensible or that they would endorse such a choice, as per the recorded notes.
Concurrently, a number of FOMC members suggested a decrease in the upward risks to their inflation predictions.
Federal officials also observed increasing threats to the job market. According to the minutes, participants remarked on the ambiguity in their employment market predictions and felt that the risks of decreasing jobs have risen since the previous meeting.
The central estimate from Fed officials, shared along with the September rate decision, indicates that the Fed aims to reduce the rate to 3.6% by the close of 2025, marking an overall reduction of 50 basis points this year. In June, the prediction indicated a drop to 3.9%.
source: bloomberg.com
After the meeting, the Fed, as anticipated, reduced the federal funds rate by 25 basis points (bps) to 4-4.25%. Every FOMC member was in favor of this action, apart from Stephen Miran, who proposed a reduction of 50 bps.
Simultaneously, multiple attendees of the meeting remarked that maintaining the rate as is would be sensible or that they would endorse such a choice, as per the recorded notes.
Concurrently, a number of FOMC members suggested a decrease in the upward risks to their inflation predictions.
Federal officials also observed increasing threats to the job market. According to the minutes, participants remarked on the ambiguity in their employment market predictions and felt that the risks of decreasing jobs have risen since the previous meeting.
The central estimate from Fed officials, shared along with the September rate decision, indicates that the Fed aims to reduce the rate to 3.6% by the close of 2025, marking an overall reduction of 50 basis points this year. In June, the prediction indicated a drop to 3.9%.
source: bloomberg.com
