The morning thoughts were also perfectly realized, and the target points
were successfully reached.
After the FOMC meeting, officials unanimously agreed to lower interest rates by 25 basis points. The statement noted that economic activity continues to expand at a robust pace. Even though the unemployment rate remains very low, "the overall conditions of the labor market have eased." In the previous statement, the Federal Reserve pointed out that monthly job growth has slowed, while in the new policy statement, the Federal Reserve pointed to a broader labor market. (Click to see the similarities and differences in the statements)
The Federal Reserve also indicated that the risks to the labor market and inflation are "roughly balanced," and repeated the wording from the statement released after the September meeting.
The new statement also slightly altered the phrasing on inflation, stating that price pressures have made "progress" toward the Federal Reserve's target, rather than the previous wording of "further progress." The personal consumption expenditures price index excluding food and energy is a key indicator of inflation, which has remained relatively stable over the past three months, with an annual growth rate of about 2.6% as of September.
