Full Text of Fed's July Meeting Statement

The U.S. Federal Reserve (Fed) concluded its two-day policy meeting and announced its interest rate decision at 2:00 a.m. Taiwan time on Thursday (30th), keeping the federal funds rate target range at 3.50-3.75%, in line with market expectations.

Below is the full text of the July meeting statement, offering insight into the new communication direction under the leadership of Kevin Warsh:

The Federal Open Market Committee (FOMC) approved the release of the following statement by a vote of 9 to 3:

The Committee decided to maintain the target range for the federal funds rate at 3.50 percent to 3.75 percent to support the Fed's dual mandate. The Committee continues its policy of maintaining ample reserve balances in the banking system.

Economic activity has been expanding at a solid pace, though uncertainty remains high, partly due to conflicts in the Middle East. Growth in productivity and capital investment has been strong. Employment growth has kept pace with labor force growth, and the unemployment rate has changed little.

Inflation remains elevated relative to the Committee’s 2 percent goal, partly reflecting supply shocks that have pushed up prices in specific sectors such as energy. The Committee is committed to restoring price stability.

Voting against the monetary policy action were Beth M. Hammack, Neel Kashkari, and Lorie Logan, who preferred to raise the target range for the federal funds rate by 25 basis points (1 notch) at this meeting.