March 17–18 · Published April 8, 2015
JYJanet L. YellenMarch 17–18, 2015 FOMC Minutes
Our reading
The minutes read consistent with the statement because they reflect the same key economic assessments and policy decisions, including the moderation of economic growth, improvement in labor markets, low inflation due to energy prices, the decision to maintain the federal funds rate target range, and the removal of the "patient" language in favor of a data-dependent approach to future rate increases.
Our reading compares the minutes of the March 17–18 FOMC meeting with the FOMC statement issued at the end of that meeting, three weeks before the minutes were published.
Vote
- Lael Brainard
- William C. Dudley
- Charles L. Evans
- Stanley Fischer
- Jeffrey M. Lacker
- Dennis P. Lockhart
- Jerome H. Powell
- Daniel K. Tarullo
- John C. Williams
- Janet L. Yellen
From the minutes
FOMC minutes
When the Committee decides to begin to remove policy accommodation, it will take a balanced approach consistent with its longer-run goals of maximum employment and inflation of 2 percent. The Committee currently anticipates that, even after employment and inflation are near mandate-consistent levels, economic conditions may, for some time, warrant keeping the target federal funds rate below levels the Committee views as normal in the longer run."
Voting for this action: Janet L. Yellen, William C. Dudley, Lael Brainard, Charles L. Evans, Stanley Fischer, Jeffrey M. Lacker, Dennis P. Lockhart, Jerome H. Powell, Daniel K. Tarullo, and John C. Williams.
Voting against this action: None.
It was agreed that the next meeting of the Committee would be held on Tuesday-Wednesday, April 28-29, 2015. The meeting adjourned at 10:45 a.m. on March 18, 2015.
What changed from the previous meeting’s minutes
- The FOMC removed "patient" language from forward guidance, replacing it with meeting-by-meeting flexibility.
- The statement now says an April rate increase is unlikely, a condition not mentioned in January.
- The March minutes note export growth had weakened, absent from the January assessment.
- Inflation is now expected to remain near its recent low in the near term, rather than decline further.
- Market-based inflation compensation was described as about unchanged since January, not substantially declined.
- Several participants judged June liftoff likely, while January minutes had no such specific timing views.
Summary generated automatically from the two documents.