No rate cut mentioned in November FOMC meeting: Minutes

2023.11.22 15:55:02 | 2023.11.22 16:17:08

Fed Chair Jerome Powell [Photo by Washington D.C. Reuters / Yonhap]이미지 확대

Fed Chair Jerome Powell [Photo by Washington D.C. Reuters / Yonhap]

The minutes of the U.S. Federal Open Market Committee (FOMC) meeting in November showed that officials did not mention lowering the benchmark interest rate, according to a foreign media report.

CNBC reported Tuesday that the minutes of the FOMC meeting, released by the Federal Reserve showed no indication that members discussed when to start cutting rates.

Fed Chair Jerome Powell had said in a post-meeting press conference that “the fact is, the FOMC is not thinking about rate cuts right now at all.”

FOMC members remained concerned that inflation may not abate or may even rise higher, necessitating more action, and indicated that monetary policy needs to remain “restrictive” until relevant statistics show a clear path toward the Fed’s inflation target of 2 percent, according to the report.

The Fed also expected the U.S. economy to “slow markedly” in the fourth quarter of 2023 after expanding 4.9 percent in the third quarter.

The Fed believed that while overall economic growth is biased toward the downside, inflation is tilted toward the upside.

By Pulse

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