November 1 · Published November 22, 2005
Statement·Presser·Minutes
AGAlan GreenspanNovember 1, 2005 FOMC Minutes
Our reading
The minutes are consistent with the statement because both reflect the FOMC's decision to raise the federal funds rate by 25 basis points to 4 percent, while acknowledging that the economy was growing solidly despite hurricane disruptions, core inflation remained subdued, and policy accommodation could be removed at a measured pace to balance risks to growth and price stability.
Our reading compares the minutes of the November 1 FOMC meeting with the FOMC statement issued at the end of that meeting, three weeks before the minutes were published.
Vote
- Susan S. Bies
- Roger W. Ferguson, Jr.
- Richard W. Fisher
- Timothy F. Geithner
- Alan Greenspan
- Donald L. Kohn
- Michael H. Moskow
- Mark W. Olson
- Anthony M. Santomero
- Stern
From the minutes
FOMC minutes
Notation Vote
By notation vote completed on October 7, 2005, the Committee unanimously approved the minutes of the meeting of the Federal Open Market Committee held on September 20, 2005.
Vincent R. Reinhart
Secretary
What changed from the previous meeting’s minutes
- Federal funds rate target raised from 3.75% to 4%.
- Olson voted for the rate hike, reversing his September dissent.
- Trade deficit widened in August after narrowing in July.
- Staff reduced near-term core inflation forecast for 2005.
- Household inflation expectations rose in October survey.
- Stock prices fell moderately over the intermeeting period.
Summary generated automatically from the two documents.