USD: statement of the Federal Reserve
- The Fed will keep interest rates near zero for a “considerable time” after QE ends.
- Economy is expanding at a moderate pace, while inflation is below the Fed’s goal.
- There's still “significant underutilization of labor resources”.
- QE was reduced to $15 billion a month.
- “Labor market conditions improved somewhat further”.
- Median estimate for the federal funds rate at the end of 2015 is raised from 1.125% to 1.375%. The rate will be at 3.75% at the end of 2017 (the Fed has included this year for the first time in its Summary of Economic Projections.
- First rate rise seen in 2015 by 14 officials compared with 12 in June.
- Provided more information on the exit strategy.
- Fisher and Plosser dissent on FOMC vote on forward guidance (hawks).