Information received since the Federal Open Market Committee met in May indicates that the labor market remains strong and that economic activity is rising at a moderate rate. Job gains have been solid, on average, in recent months, and the unemployment rate has remained low. Although growth of household spending appears to have picked up from earlier in the year, indicators of business fixed investment have been soft. On a 12-month basis, overall inflation and inflation for items other than food and energy are running below 2 percent. Market-based measures of inflation compensation have declined; survey-based ... (full story)

A divided Federal Reserve held the line on interest rates at its meeting this week and indicated there are still no cuts coming in 2019. The decision was by the thinnest of margins, though, and still leaves open the possibility that policy loosening could happen before the end of the year depending on how conditions unfold. The central bank expects a rate cut ahead, but not until 2020. In a decision closely watched by financial market participants clamoring for multiple cuts, central bank officials on the Federal Open Market Committee voted 9-1 to keep the benchmark rate in a target range of 2.25% to 2.5%, where it ... (full story)

This is a comparison of Wednesday’s FOMC statement with the one issued on May 1 after the Fed’s previous policy-making meeting. Text removed from the May statement is in red with a horizontal line through the middle. Text appearing for the first time in the new statement is in red and underlined. Black text appears in both statements. Information received since the Federal Open Market Committee met in MarchMayindicates that the labor market remains strong and that economic activity roseis risingat a solidmoderaterate. Job gains have been solid, on average, in recent months, and the unemployment rate has remained low. ... (full story)