GOVERNMENT REPORT SERIES
PRESS RELEASE IN FULL
For release at 2 p.m. EDT July 27, 2022
Recent indicators of spending and production have softened. Nonetheless, job
gains have been robust in recent months, and the unemployment rate has remained
low. Inflation remains elevated, reflecting supply and demand imbalances related to
the pandemic, higher food and energy prices, and broader price pressures.
Russia’s war against Ukraine is causing tremendous human and economic
hardship. The war and related events are creating additional upward pressure on
inflation and are weighing on global economic activity. The Committee is highly
attentive to inflation risks.
The Committee seeks to achieve maximum employment and inflation at the rate
of 2 percent over the longer run. In support of these goals, the Committee decided to
raise the target range for the federal funds rate to 2-1/4 to 2-1/2 percent and
anticipates that ongoing increases in the target range will be appropriate. In addition,
the Committee will continue reducing its holdings of Treasury securities and agency
debt and agency mortgage-backed securities, as described in the Plans for Reducing
the Size of the Federal Reserve’s Balance Sheet that were issued in May. The
Committee is strongly committed to returning inflation to its 2 percent objective.
In assessing the appropriate stance of monetary policy, the Committee will
continue to monitor the implications of incoming information for the economic
outlook. The Committee would be prepared to adjust the stance of monetary policy
as appropriate if risks emerge that could impede the attainment of the Committee’s
goals. The Committee’s assessments will take into account a wide range of
information, including readings on public health, labor market conditions, inflation pressures and inflation expectations, and financial and international developments.
Our take on the report!
Market neutral. as our key index based stocks are moving slightly higher on press release publication
