The Federal Reserve released the minutes of its last meeting, where the minutes showed that all participants in the May meeting agreed to increase the interest rate by half a percentage point, and most considered that such an increase would be appropriate in the next two meetings.
US central bank officials reiterated their strong commitment and determination to control inflation through a series of interest rate increases, and according to the minutes of the latest monetary policy meeting, the board endorsed plans to reduce the size of the board’s balance sheet.
While the world’s largest economy is in a strong position, the Federal Reserve will have to move quickly to increase its benchmark borrowing rate and empty its massive bond holdings to curb inflation.
According to the minutes, the participants considered that the Ukraine war and the Covid closures in China pose high risks and challenges to restore price stability while maintaining the strength of the labor market.
The Fed’s policy committee earlier this month raised its key interest rate by half a point and most members said similar increases were likely to be appropriate in the next two meetings.
(function(P,o,s,t,Q,r,e){P[‘RecsWidgetObject’]=Q;P[Q]=P[Q]||function(){
(P[Q].q=P[Q].q||[]).push(arguments)},P[Q].l=1*new Date();r=o.createElement(s),
e=o.getElementsByTagName(s)[0];r.async=1;r.src=t;e.parentNode.insertBefore(r,e) })(
window,document,’script’,’//widget.postquare.com/_widget_loader.js’,’__posWidget’);
__posWidget(‘createWidget’,{wwei:’POSTQUARE_WIDGET_122394′,pubid: 165709,webid:171079,wid:122394,on:’postquare’});