Recent indicators of spending and production point to modest growth, job growth continues to be strong, and the unemployment rate remains low.Inflation has moderated somewhat, but remains stubbornly high.
The Russo-Ukrainian war has caused enormous human and economic suffering and created a high degree of global uncertainty. The committee is paying close attention to inflation risks.
The Committee seeks to achieve full employment and a longer-term inflation rate of 2 percent. In support of these objectives, the Committee decided to increase the target range for the federal funds rate to 4.50 percent to 4.75 percent.The Committee expects that further upward revisions to the target range will be appropriateto achieve a sufficiently restrictive monetary policy stance to allow inflation to return to 2% over time.
futureDeciding how much to raise the target rangethe Committee will take into account the cumulative tightening of monetary policy, the timing of the impact of monetary policy on economic activity and inflation, and economic and financial developments.
In addition, the Committee will continue to reduce its holdings of Treasury securities, agency debt, and agency mortgage-backed securities, as described in previously announced plans. The committee is strongly committed to getting inflation back to its 2% target.
In assessing the appropriate stance of monetary policy, the Committee will continue to monitor the implications of subsequent information for the economic outlook, and will be prepared to adjust the stance of monetary policy appropriately if risks arise that may impede the Committee’s objectives. The committee’s assessment will take into account a wide range of information, including the state of the labor market, indicators of inflation pressure and inflation expectations, and data on financial and international developments.
Those supporting the monetary policy resolution include FOMC Chairman Jerome Powell, Vice Chairman John Williams, Michael Barr, Michelle Bowman, Lael Brainard, Library Lisa Cook, Austan Goolsbee, Patrick Harker, Philip Jefferson, Neel Kashkari, Lorie Logan, Christopher Waller ).
The original statement from the Fed in February:please click me
