FOMC: Less dovish, but hikes remain distant $FOMC

•  No change to policy measures. Hoenig repeats his lone dissent.
•  Growth language slightly more optimistic but no change to inflation outlook
•  Extended period’ retained indicating continued commitment to low rates
•  Further asset purchases highly unlikely
•  No change to our outlook expecting unchanged r ates until late this year

Details
The assessment of activity was slightly more upbeat than in the previous statement. As
expected the FOMC turned more optimistic on the labour market while on the other hand
noting recent very weak housing data. Generally, the committee still expects a moderate
recovery including a gradual return to higher resource utilisation. As a result, the outlook
remains 3-3.5% growth, a relatively moderate rate historically.



FlashComment_FOMC_160310