At a meeting held by the US Federal Open Market Committee (FOMC) on September 20-21, authorities raised policy rates to the economic rate in a short period of time, and to reduce inflation to target values. He showed a policy to maintain at that level. It was revealed in the issues published on the 12th.
However, the summary of the proceedings is that it is important to adjust the additional tightening pace with the aim of relieving the risk of significant adverse effects on economic outlook, especially in the quite uncertain global economy and financial environment. The participants of the people pointed out. “
At the previous September regular meeting, the FOMC raised the Federal Fund (FF) interest rate guidance target by 0.75 points to 3-3.25 %. The interest rate hike of 0.75 points was three consecutive meetings.
Chairperson Powell, to further promote the further “pain” -Continue aggressive interest
“Many participants emphasized that the price of too few actions to suppress inflation is larger than the price of overdoing,” he said.
FOMC agreed that inflation rate was returned to 2 %, the goal of the financial authorities, but some participants have been warning that policy rates have reached the economic reduction territory.
Original title:Fed Officials Commit to Restrictive Rates But Calibration Needed(excerpt)
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