FOMC Meeting Announcement Released On 3/18/2015 2
Post# of 63696
Posted On: 03/18/2015 7:54:34 AM
FOMC Meeting Announcement
Released On 3/18/2015 2:00:00 PM
Recent History Of This Indicator
The FOMC announcement at 2:00 p.m. ET for the March 17-18 FOMC policy meeting is expected to leave policy rate unchanged. Also, the Fed will release its quarterly forecasts at the same time as the statement. The key issues are whether "patient" is removed from guidance and whether there are hints at when the Fed starts to raise rates.
Definition
The Federal Open Market Committee (FOMC) is the policy-making arm of the Federal Reserve. It determines short-term interest rates in the U.S. when it decides the overnight rate that banks pay each other for borrowing reserves when a bank has a shortfall in required reserves. This rate is the fed funds rate. The FOMC also determines whether the Fed should add or subtract liquidity in credit markets separately from that related to changes in the fed funds rate. The Fed announces its policy decision (typically whether to change the fed funds target rate) at the end of each FOMC meeting. This is the FOMC announcement. The announcement also includes brief comments on the FOMC's views on the economy and how many FOMC members voted for and how many voted against the policy decision. Since the last recession, the statement also includes information on Fed purchases of assets, so-called "quantitative easing", which affects longer-term interest rates. Also, a key part of the announcement is guidance on potential changes in policy rates or asset purchases. Why Investors Care
Released On 3/18/2015 2:00:00 PM
Recent History Of This Indicator
The FOMC announcement at 2:00 p.m. ET for the March 17-18 FOMC policy meeting is expected to leave policy rate unchanged. Also, the Fed will release its quarterly forecasts at the same time as the statement. The key issues are whether "patient" is removed from guidance and whether there are hints at when the Fed starts to raise rates.
Definition
The Federal Open Market Committee (FOMC) is the policy-making arm of the Federal Reserve. It determines short-term interest rates in the U.S. when it decides the overnight rate that banks pay each other for borrowing reserves when a bank has a shortfall in required reserves. This rate is the fed funds rate. The FOMC also determines whether the Fed should add or subtract liquidity in credit markets separately from that related to changes in the fed funds rate. The Fed announces its policy decision (typically whether to change the fed funds target rate) at the end of each FOMC meeting. This is the FOMC announcement. The announcement also includes brief comments on the FOMC's views on the economy and how many FOMC members voted for and how many voted against the policy decision. Since the last recession, the statement also includes information on Fed purchases of assets, so-called "quantitative easing", which affects longer-term interest rates. Also, a key part of the announcement is guidance on potential changes in policy rates or asset purchases. Why Investors Care
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