January 30–31 · Published February 21, 2024
Statement·Presser·Minutes·Policy
Jerome H. Powell
January 30–31, 2024 FOMC Minutes
Our reading
The minutes are consistent with the statement because they detail the FOMC's unanimous decision to maintain the federal funds rate target range at 5-1/4 to 5-1/2 percent, reflecting the same economic assessment—solid growth, strong but moderated job gains, low unemployment, and easing but elevated inflation—and the same forward guidance on not reducing rates until gaining greater confidence that inflation is moving sustainably toward 2 percent, as outlined in the statement.
Our reading compares the minutes of the January 30–31 FOMC meeting with the FOMC statement issued at the end of that meeting, three weeks before the minutes were published.
Vote
- Thomas I. Barkin
- Michael S. Barr
- Raphael W. Bostic
- Michelle W. Bowman
- Lisa D. Cook
- Mary C. Daly
- Philip N. Jefferson
- Adriana D. Kugler
- Loretta J. Mester
- Jerome H. Powell
- Christopher J. Waller
- John C. Williams
From the minutes
FOMC minutes
Voting for this action: Jerome H. Powell, John C. Williams, Thomas I. Barkin, Michael S. Barr, Raphael W. Bostic, Michelle W. Bowman, Lisa D. Cook, Mary C. Daly, Philip N. Jefferson, Adriana D. Kugler, Loretta J. Mester, and Christopher J. Waller.
Voting against this action: None.
Consistent with the Committee's decision to leave the target range for the federal funds rate unchanged, the Board of Governors of the Federal Reserve System voted unanimously to maintain the interest rate paid on reserve balances at 5.4 percent, effective February 1, 2024. The Board of Governors of the Federal Reserve System voted unanimously to approve the establishment of the primary credit rate at the existing level of 5.5 percent, effective February 1, 2024.
It was agreed that the next meeting of the Committee would be held on Tuesday–Wednesday, March 19–20, 2024. The meeting adjourned at 10:25 a.m. on January 31, 2024.
What changed from the previous meeting’s minutes
- Participants judged the policy rate was likely at its peak, rather than at or near its peak.
- Members removed the banking system resilience and tighter financial conditions references from the statement.
- Members replaced "additional policy firming" language with "considering any adjustments" to the target range.
- Statement added that the FOMC does not expect rate cuts until confident inflation moves sustainably toward 2 percent.
- Many participants suggested beginning in-depth balance sheet runoff discussions at the next meeting.
- Several participants noted balance sheet runoff could continue after the target range begins to be reduced.
Summary generated automatically from the two documents.