As scheduled, the FOMC has released the minutes from it's recent policy meeting ending April 29th.
Highlights are as follows:
GDP forecasts cut again. Previous range was -1.3 to -0.5. New forecast is -2.0 to -1.3. 2010 still seen turning positive again
Most Fed Governors see a "return to long run potential" taking 5 to 6 years
Most expected gradual recovery with elevated unemployment through 2011
FEWER saw risk to inflation outlook
some note risk that inflation could stay persistently too low
Most expected Inflation to be subdued over next few years
Most agreed inflation risks are balanced
Economy still facing significant downside risks.
Available data indicates stabilization still tentative
Some evidence emerging that the RATE of contraction is starting to decrease. (aka "less bad")
Many believed risk of protracted deflationary period had decreased
Security Purchases remain intact
SOME THOUGHT SECURITIES PURCHASES SHOULD BE INCREASED IN ORDER TO STIMULATE RECOVERY
Long run forecasts unchanged
2009 core PCE target revised upward from .9 - 1.1 to 1.0-1.5
2009 unemployment forecast now 9.2 to 9.6 % versus 8.5 to 8.8% previously
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