Highlights of the December 13, 2017 FOMC interest rate decision
- Prior was 1.00% to 1.25%
- Economists and markets were virtually unanimous in pricing in a 25 basis point cut
- Evans and Kashkari dissented
- Vote was 7-2
- Fed sees faster growth trajectory and faster decline in jobless rate in projections
- Says economic activity and job gains have been solid
- Inflation has declined this year but still expects it to reach 2% target over medium term
- "Job gains have been solid"
- Repeats that economic activity has been rising at a solid rate
- Omits statement that inflation has 'remained soft' but continues to say it has declined this year
- Hurricanes haven't affected outlook for the economy
- Labor market conditions will 'remain strong' rather than 'strengthen somewhat further'
- No change in guidance
The Fed hikes rates, no surprise. Neither Evans nor Kashkari vote next year.
As for the details, there is a slight downgrade to job growth and a slightly better nod to inflation.
Press conference coming up at the bottom of the hour.
