Here are key takeaways from the Federal Reserve's interest-rate decision and economic projections on Wednesday:
Fed raises its main rate 75 basis points, as anticipated, to a range of 3% to 3.25%, while new projections from officials show a median estimate of 4.4% at the end of 2022 and 4.6% at the end of 2023
While Wednesday's decision was unanimous, the dot plot shows 10-9 majority in favor of hiking above 4.25% this year, suggesting a fourth straight 75 basis-point increase in November is possible
Policy makers expect rates will be cut in 2024, to about 3.9%, and to 2.9% in 2025
Statement is virtually identical to prior FOMC meeting in July; Fed says recent indicators “point to modest growth” in spending and production, compared with July's language that the data had “softened”
GDP growth forecasts marked down to 1.2% in 2023 and 1.7% in 2024, below the longer-run trend; unemployment seen rising to 4.4% in 2023
(Bloomberg) -- For Bloomberg's TOPLive blog on the Fed decision and press conference, click here
More stories like this are available on bloomberg.com
©2022 Bloomberg L.P.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
