2017 Economic Calendar
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FOMC Meeting Announcement  
Released On 7/26/2017 2:00:00 PM
PriorConsensusConsensus RangeActual
Federal Funds Rate - Target Level1.00 to 1.25 %1.125 %1.00 % to 1.25 %1.00 to 1.25 %

Highlights
For those expecting tapering to begin in September, wait and see is the answer. The FOMC held rates unchanged as expected, with the funds target range set at 1.00 to 1.25 percent with a 1.125 percent midpoint, and the members did not offer specific hints on a September start to the unwinding of the Fed's $4.5 trillion balance sheet. The vote was a unanimous 9-0.

For a second meeting in a row, inflation is the crack in the armor. In June, core inflation was described as "declining somewhat" with the July statement discarding somewhat for just "declining". Otherwise the economic description is unchanged: general activity is moderate, employment solid and both household spending and business investment up.

On tapering, the statement only says it will likely begin "relatively soon" which could mean either September or December. Meetings in these two months will include FOMC forecasts and the chair's press conference, extras that are considered necessary to explain the details of important policy changes.

Markets are showing no significant early reaction to the results. Next major focus for the markets will be Friday's second-quarter GDP where a respectable 2.6 percent growth rate is the Econoday consensus.

Consensus Outlook
The Federal Open Market Committee is expected to hold their federal funds target at a 1.00 to 1.25 percent range with a 1.125 percent midpoint. Econoday's sample is unanimous with no expectations for a rate hike. Language on inflation, which the June statement conceded was slowing, will be closely watched as will any commentary on unwinding the Fed's balance sheet which some expect to begin as early as September.

Definition
The FOMC meeting announcement is a policy statement issued at the conclusion of each meeting of the Federal Open Market Committee. It offers updates on economic conditions with special focus on the health of the labor market and the latest on inflation. It also updates the status of the federal funds target which is the FOMC's official policy interest rate. This rate is expressed within a range, such as 1.75 to 2.00 percent. The center of this range is the implied target. The higher this target, the more restrictive monetary policy becomes, the lower this target, the more accommodative policy becomes. Other policy tools are also discussed in the meeting announcement including updates on direct purchases of Treasuries and mortgage-backed securities. Debate is not offered in the statement, just the consensus view is expressed, though the statement does list the total committee vote and how each member voted.  Why Investors Care
 

2017 Release Schedule
Released On: 2/13/155/36/147/269/2011/112/13
 


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