NYTimes – Fed Sounds Cautious Note but Doesn’t Deter Forecast of Rate Increase

Also of note – a plan to reduce the Fed’s asset holdings, a key component of its as-to-now strategy of keeping borrowing costs low, was presented by staffers and viewed favorably by nearly all board members.

May 25, 2017

‘Federal Reserve Board officials said at a meeting early this month that they wanted to see evidence of stronger economic growth before continuing to increase the Fed’s benchmark interest rate, according to minutes of the meeting published on Wednesday.

But the account presented in the minutes did not shake a widespread conviction that the Fed will raise rates at its next meeting, which is scheduled for mid­-June. Analysts said recent economic data was strong enough to reassure the Fed, and investors increased their bets on a June rate hike.’

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