Economic Buzz: US Fed Minutes Indicate Slower Pace Of Rate Hikes

24 Nov 2022 , 08:30 AM

The Federal Reserve released the minutes of its early November monetary policy meeting on Wednesday, providing further evidence the central bank is considering slowing the pace of its interest rate hikes. A slower pace of rate hikes would better allow the Fed to assess progress toward its goals of maximum employment and price stability, the minutes said. The uncertain lags and magnitudes associated with the effects of monetary policy actions on economic activity and inflation were among the reasons cited regarding why such an assessment was important. The minutes also said participants agreed further interest rate increases would be appropriate in order to attain a sufficiently restrictive stance to bring inflation down over time. The Fed said many participants commented that there was significant uncertainty about the ultimate level needed to achieve their goals and that their assessment of that level would depend, in part, on incoming data. The central banks next monetary policy meeting is scheduled for December 13-14.Powered by Commodity Insights