Powell: In near term the election will have no effects on our policy decisions

Recent indicators suggest that economic activity has continued to expand at a solid pace. Since earlier in the year, labor market conditions have generally eased, and the unemployment rate has moved up but remains low. Inflation has made progress toward the Committee’s 2 percent objective but remains somewhat elevated. The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run. The Committee judges that the risks to achieving its employment and inflation goals are roughly in balance. The economic outlook is uncertain, and the Committee is attentive to the risks to both sides of its dual mandate. In support of its goals, the Committee decided to lower the target range for the federal funds rate by 1/4 percentage point to 4-1/2 to 4-3/4 percent. In considering additional adjustments to the target range for the federal funds rate, the Committee will carefully assess incoming data, the evolving outlook, and the balance of risks. The Committee will continue reducing its holdings of Treasury securities and agency debt and agency mortgage‑backed securities. The Committee is strongly committed to suppo post: FED STATEMENT COMPARE pic.twitter.com/uP0UJGndiT post: FED: VOTE IN FAVOR OF POLICY WAS UNANIMOUS post: *FED REMOVES REFERENCE TO GAINING CONFIDENCE ON INFLATION post: *FED: LABOR MARKET CONDITIONS HAVE ‘GENERALLY EASED’

post: ED'S POWELL Q&A: FOR DECEMBER FOMC, GOING TO 'WAIT AND SEE' WHERE DATA LANDS #Powell #FOMC #FederalReserve #economy post: Powell: The statement changes weren't designed to serve as forward guidance. Removing language about "greater confidence" on inflation is characterized as a drafting step; it got rid of something that had been used to explain that the test for cutting, in Sept, had been met https://t.co/2V61v0KKVv post: POWELL: **IF NEW FISCAL POLICY IS PROPOSED, WE WOULD MODEL IT, STAFF WOULD BRIEF US, TRY TO GET SMART ON IT **ONCE A LAW IS CHANGED IT WOULD GO INTO THE MODEL, IT'S A PROCESS THAT TAKES SOME TIME post: *POWELL: DON'T NEED FURTHER LABOR COOLING FOR INFLATION MANDATE *POWELL: LABOR MARKET IS CONTINUING TO COOL post: *POWELL: AS WE APPROACH NEUTRAL, MAY BE APPROPRIATE TO SLOW CUTS

post: POWELL: **THE STORY IS CONSISTENT WITH INFLATION CONTINUING TO COME DOWN ON A BUMPY PATH **ONE OR TWO BAD DATA MONTHS ON INFLATION WON'T CHANGE THE PROCESS **NO NEED TO BE IN A HURRY TO GET THERE post: Powell: This isn't a tight economy. A lot of the inflation we've seen this year has been catch-up inflation. post: Powell: "The right way to find neutral is carefully, patiently." He says the Fed is prepared to adjust its assessments of the appropriate pace and destination for rates as the outlook evolves. post: POWELL: **SO FAR NOT BIG EFFECTS ON US ECONOMY, BUT GEOPOLITICAL RISKS ARE ON THE HORIZON ALL THE TIME **PEOPLE FEEL NEXT YEAR COULD EVEN BE STRONG THAN THIS YEAR post: *POWELL: NOT PERMITTED UNDER THE LAW TO FIRE FED CHAIR