#FOMCMeeting FOMC UPDATE
Although fluctuations in net exports continue to affect the data, recent indicators suggest that economic activity growth moderated in the first half of the year. The unemployment rate remains low, and labor market conditions remain strong. Inflation remains relatively high.
The Committee seeks to achieve maximum employment and inflation at a rate of 2% in the long run. Uncertainty regarding economic prospects remains high. The Committee is attentive to risks on both sides of its dual mandate.
In support of its objectives, the Committee decided to maintain the target for the federal funds rate (FFR) between 4.25% and 4.5%, respectively. In considering the extent and timing of further adjustments to the target for the federal funds rate (FFR), the Committee will carefully assess the data received, the evolution of the outlook, and the balance of risks. The Committee will continue to reduce its investments in Treasury securities, agency debt securities, and agency mortgage-backed securities. The Committee is strongly committed to supporting maximum employment and returning inflation to its 2% target.
When evaluating the appropriate stance of monetary policy, the Committee will continue to monitor the implications of the information received for economic prospects. The Committee will be prepared to adjust the stance of monetary policy as appropriate if risks arise that could impede the achievement of the Committee's objectives. The Committee's assessments will take into account a wide range of information, including data on labor market conditions, inflationary pressures, and inflation expectations, as well as financial and international developments.
Voting in favor of the monetary policy action were Jerome H. Powell, Chairman; John C. Williams, Vice Chairman; Michael S. Barr; Susan M. Collins; Lisa D. Cook; Austan D. Goolsbee; Philip N. Jefferson; Alberto G. Musalem; and Jeffrey R. Schmid. Voting against this action were Michelle W. Bowman and Christopher J. Waller, who preferred to reduce the target for the federal funds rate by 0.25 percentage points at this meeting. Absent and without a vote, Adriana D. Kugler.
