September 24 · Published November 7, 2002
Statement·Presser·Minutes
AGAlan GreenspanSeptember 24, 2002 FOMC Minutes
Our reading
The minutes are consistent with the statement because they document that the FOMC voted to maintain the federal funds rate at 1 3/4 percent, with only two members (Gramlich and McTeer) dissenting in favor of a rate reduction, and that the FOMC agreed to include language in the statement emphasizing risks weighted toward economic weakness and heightened geopolitical uncertainties.
Our reading compares the minutes of the September 24 FOMC meeting with the FOMC statement issued at the end of that meeting, three weeks before the minutes were published.
From the minutes
FOMC minutes
Votes against this action: None.
Abstention: Mr. McDonough.
Vincent R. Reinhart
Secretary
What changed from the previous meeting’s minutes
- The FOMC shifted its risk assessment from neutral to tilted toward weakness in the August minutes, while September minutes retained the tilted-toward-weakness stance.
- Two members dissented in September, preferring immediate easing, whereas the August vote was unanimous.
- The September minutes added a reference to heightened geopolitical risks as a source of uncertainty, absent in August.
- The September statement changed "risks are weighted" to "risks continue to be weighted" in the press release language.
- The September meeting noted economic growth picked up in the third quarter, while August cited disappointing incoming data.
Summary generated automatically from the two documents.