20 Nov 2013
FOMC: Taper likely in coming months on better data
FXstreet.com (San Francisco) - The Federal Reserve's minutes of the latest FOMC meeting suggest the central bank may slow the bond buying rate in the coming months as the economic data is expected to improve in the coming months.
"Information received since the Federal Open Market Committee met in September generally suggests that economic activity has continued to expand at a moderate pace," the minutes said. In this line, the committee "generally expected that the data would prove consistent with the Committee's outlook for ongoing improvement in labor market conditions and would thus warrant trimming the pace of purchases in coming months."
The FOMC also saw little change in economic outlook since September and many voter members are "stressed the data-dependent nature of the current asset purchase program, and some pointed out that, if economic conditions warranted, the Committee could decide to slow the pace of purchases at."
The Fed also reaffirmed that the fund rates will remain at 0.00/0.25% "at least as long as the unemployment rate remains above 6-1/2 percent." The inflation is expected to be "no more than a half percentage point above the Committee's 2 percent longer-run goal," in the 2014 and 2015.
"Information received since the Federal Open Market Committee met in September generally suggests that economic activity has continued to expand at a moderate pace," the minutes said. In this line, the committee "generally expected that the data would prove consistent with the Committee's outlook for ongoing improvement in labor market conditions and would thus warrant trimming the pace of purchases in coming months."
The FOMC also saw little change in economic outlook since September and many voter members are "stressed the data-dependent nature of the current asset purchase program, and some pointed out that, if economic conditions warranted, the Committee could decide to slow the pace of purchases at."
The Fed also reaffirmed that the fund rates will remain at 0.00/0.25% "at least as long as the unemployment rate remains above 6-1/2 percent." The inflation is expected to be "no more than a half percentage point above the Committee's 2 percent longer-run goal," in the 2014 and 2015.