FOMC minutes hint rate cuts

According to the Federal Open Market Committee participants, the FOMC’s most recent meeting at the end of July hinted at reducing the federal funds rate. The FOMC’s meeting minutes were released, indicating support for a rate cut, although the FOMC ultimately voted to maintain the 5.25% to 5.5% target range.

The minutes reveal: “Job gains had moderated, and the unemployment rate had moved up but remained low. Inflation eased over the past year but remained somewhat elevated. Members concurred that, in recent months, there had been some further progress toward the Committee’s 2 percent inflation objective. Members judged that the risks to achieving the Committee’s employment and inflation goals had continued to move into better balance. Members viewed the economic outlook as uncertain and agreed that they were attentive to the risks to both sides of the Committee’s dual mandate.”

See the full minutes here.