(Finance) – The vast majority of the members of the FOMCthe committee that regulates the politics monetary from the Fedin the January meeting – during which it was decided to maintain the reference rate of the Fed in an interval between 4.25% and 4.5% -. they confirmed the intention to maintain a position in monetary policy still restrictive. “The participants indicated that, provided that the economy remained close to maximum employment, they would have liked to see further progress on inflation before making further adjustments to the target interval for the rate of federal funds”, reads the minutes published by Fed, a concept already illustrated at the press conference by the President, Jerome Powell.
Some officials have in fact supported the need for theinflation it further drops towards the 2% goal set by the FED before supporting a new cut.
The minutes showed that central bankers are also observing the application of the plans of the New Trump administration They are evaluating how this could shape the economy. FOMC members defined the risks for the economy substantially balanced but “have generally underlined the risks to the rise for the prospects of inflation”. In particular, we read from the minute, “the participants mentioned the possible effects of potential changes in the politics commercial and of immigrationthe potential of geopolitical developments that can interrupt the supply chains or an expense of families stronger than expected “.
During the meeting, possible changes to the composition of the budget of the central bank. “Many participants have expressed the opinion that it would be appropriate to structure purchases in order to bring the composition of the exploit of the Soma portfolio closer to that of the actions in circulation of the Treasury debtalso reducing the risk of market interruptions to a minimum “, reads the minutes.