Recent Updates
- UK: Halifax HPI, BoE Quoted Rates (Feb), MFI by Currency (Q4)
- Slovenia: International Reserves (Feb)
- Lithuania: Registered Unemployment (Feb)
- Luxembourg: CPI, HICP (Feb)
- Spain: Consumer Confidence Index (Feb)
- more updates...
Economy in Brief
U.S. Initial Unemployment Insurance Claims Rise Just 9,000
Initial claims for unemployment insurance rose modestly by 9,000 to 745,000 in the week ended February 27...
U.S. Productivity's Decline Lessened in Q4'20; Reverses Q3 Increase
Revisions to nonfarm business sector productivity indicated a 4.2% decline during Q4'20...
EMU Unemployment Rate Steadies in January
The overall EMU unemployment rate was steady in January, off peak, but still elevated...
U.S. ADP Nonfarm Private Payroll Increase Disappoints in February
Job market strength moderated last month....
U.S. ISM Services Index Weakens in February
The ISM Composite Index of Services Activity declined to 55.3 during February...
Viewpoints
Commentaries are the opinions of the author and do not reflect the views of Haver Analytics.
by Tom Moeller January 31, 2018
At today's meeting of the Federal Open Market Committee, the federal funds rate target was held steady in a range of 1.25%-1.50%. The financial markets had expected today's action as indicated in the Action Economics Forecast Survey.
The Fed continued to characterize the stance of monetary policy as accommodative. Growth in the labor market and in consumer and business spending was viewed as "solid." Overall price inflation and prices excluding food & energy are expected to rise this year, then stabilize near the Fed's 2% objective.
The Fed's expectation for economic growth this year is 2.5%, then 2.1% in 2019. Expected PCE price inflation in 2018 is 1.9%, then 2.0% next year. The expected unemployment rate next year is 3.9%. As a result, the targeted level of the fed funds rate will increase to 2.1%, then 2.7% in 2019.
The press release for today's FOMC meeting can be found here.
Haver's SURVEYS database contains the economic projections from the FOMC.
Current | Last | 2017 | 2016 | 2015 | 2014 | |
---|---|---|---|---|---|---|
Federal Funds Rate Target | 1.25%-1.50% | 1.25%-1.50% | 1.00% | 0.40% | 0.13% | 0.09% |