Summary of the Federal Reserve Press Conference – 20th Sept 2023
- Interest rate maintained steady at 5.40 percent, effective 21st Sept, 2023.
- Undertake open market operations as necessary to maintain the federal funds rate in a target range of 5.25 to 5.50 percent.
- Indicates another rate hike before the end of the year, possibly a 0.25 percent hike peaking in the range of 5.50 to 5.75 percent.
- Possibly 2 rate cuts in 2024.
- FOMC members sharply revised up their economic growth expectations for 2023, with GDP now expected to increase to 2.1 percent.
- FOMC members observe robust economic growth and so do not anticipate a recession anytime soon.
- Projections of federal funds rate were at 5.6 percent for the end of this year, 5.1 percent for 2024, 3.9 percent for 2025, and 2.9 percent for 2026.
- Strongly committed to returning inflation to its 2 percent objective.
Sources & References
- Transcript of Chair Powell’s Press Conference Opening Statement September 20, 2023
- The official press release from the United States Federal Reserve Federal Reserve issues the FOMC statement
- The Decisions Regarding Monetary Policy Implementation Implementation Note issued September 20, 2023
Introductory statements by CHAIR POWELL
Full FOMC press conference
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- Any finance-related information shared is not professional legal, tax, or investment advice.
- The information provided is of an educational and general nature and is not investment advice within the meaning of Articles L. 321-1 and D. 321-1 of the French Monetary and Financial Code.
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