FOMC Minutes Show Near-Term Policy Consensus, Longer Term Division

Officials Agreed Need to Move ‘Expeditiously’ To Neutral ‘Most’ Thought 50 bp Hikes in June, July Likely To Be Appropriate ‘Many’ Thought ‘Expediting’ Tightening Would Let Fed Assess Stance Later ‘Several’ Saw Challenge Restoring Price Stability With Strong Job Market ‘A Number’ Favored MBS Sales Once Balance Sheet Reduction Underway By Steven K. Beckner (MaceNews) […]

White House and Other Schedules for Saturday and Sunday

WASHINGTON (MaceNews)—The following are Saturday and Sunday’s schedules for the White House, Treasury, USTR, the State Department and Capitol Hill as well as US data and Federal Reserve events:  WEEKEND GUIDANCE AND PRESS SCHEDULE FORSATURDAY, MAY 7, 2022 AND SUNDAY, MAY 8, 2022  On Saturday, the President has no public events scheduled. On Sunday, the President will participate in a […]

FOMC Lifts Funds Rate By 50 Bp; More to Come but Path Remains In Doubt

– Powell Says 50 BP Hikes Will Be “On Table” Next Two FOMC Meetings – 75 BP Hike Not Under Consideration – Will Need to Be ‘Nimble’ Given Uncertain, Changing Outlook – Quick-paced Balance Sheet Reduction To Begin June 1 By Steven K. Beckner (MaceNews) – Federal Reserve policymakers not only continued raising short-term interest […]

Text of Fed Statement on Plans to Reduce Balance Sheet, Starting June 1

Consistent with the Principles for Reducing the Size of the Federal Reserve’s Balance Sheet that were issued in January 2022, all Committee participants agreed to the following plans for significantly reducing the Federal Reserve’s securities holdings. The Committee intends to reduce the Federal Reserve’s securities holdings over time in a predictable manner primarily by adjusting […]

Text of FOMC Policy Announcement May 4, 2022

Although overall economic activity edged down in the first quarter, household spending and business fixed investment remained strong. Job gains have been robust in recent months, and the unemployment rate has declined substantially. Inflation remains elevated, reflecting supply and demand imbalances related to the pandemic, higher energy prices, and broader price pressures. The invasion of […]

White House and Other Schedules for Wednesday, May 4

WASHINGTON (MaceNews)—The following are Wednesday’s schedules for the White House, Treasury, USTR, the State Department and Capitol Hill as well as US data and Federal Reserve events:  DAILY GUIDANCE AND PRESS SCHEDULE FORWEDNESDAY, MAY 4, 2022  In the morning, the President will receive the President’s Daily Brief. This meeting will be closed press. After, the President and the First […]

FOMC Seems Sure to Go 50 Basis Points on May 4, but After That Rate Path Uncertain

By Steven K. Beckner (MaceNews) – It now seems all but guaranteed that the Federal Reserve will raise short-term interest rates for a second straight Federal Open Market Committee meeting in early May, but it is less certain what the Fed will do thereafter. With a 50 basis point hike in the federal funds rate on May 4 considered a foregone conclusion, the real […]

FOMC: Likely Bal Sheet Runoff to be $60 Bln Tsys/Month, $35 Bln MBS/Month

WASHINGTON (MaceNews) – The Federal Open Market Committee minutes released Wednesday suggested a more aggressive runoff of the balance sheet than had generally been expected – at least before Gov. Lael Brainard’s more hawkish statements Tuesday – sending markets into sudden volatility as the implications were absorbed by market participants. The details of what the […]