"Progress in the labor market is the missing piece of the puzzle for the Fed to set into motion," a managing director said.
"The Federal Reserve should start taking away the punchbowl by tapering after the next strong jobs report," a CIO said.
European and Asian equities lose ground as the Fed adds to anxiety about the impact of the Delta variant on economic recovery.
Most policymakers agreed the Fed could start shrinking its emergency asset purchases later this year. Most of the details, however, are still in flux.
Home prices surged in May at the fastest rate in 30 years. Minutes from the Fed's June meeting show the central bank talking about cooling the market.
US stocks rose as the Fed's FOMC minutes signaled little changes to the central bank's narrative on inflation, interest rates, and asset purchases.
The KBW Bank index reversed course and spiked as much as 1.2% after the central bank signaled two rate hikes before the end of 2023.
"Despite the 'transitory' message regarding inflation, some on the Committee must be twitching a little uncomfortably," an analyst said.
Officials said in April that if the recovery stays strong, it might be time to consider tapering its asset purchases, meeting minutes showed.
FOMC minutes showed it will "likely be some time" until the Fed tightens its policy stance and Biden's stimulus "considerably larger" than expected.
Stimulus and vaccinations improved Fed officials’ medium-term outlooks, FOMC meeting minutes showed. The central bank elected to hold interest rates near zero and maintain its pace of asset purchases. FOMC members also emphasised the importance of “clearly communicating” future policy changes. Visit the Business section of Insider for more stories. […]
Fed officials also emphasized the importance of "clearly communicating" when it would begin tightening its policy stance, per FOMC minutes.
Minutes from the Federal Open Market Committee’s September 15-16 meeting show Federal Reserve officials raising concerns that a lack of new fiscal support could hinder the US economic recovery. FOMC participants “assumed the enactment of some additional policy support this year,” according to the minutes. Without such support, “the pace […]
Federal Reserve officials expressed caution toward the US economic recovery as virus cases spiked higher in July, meeting minutes released Wednesday showed. Federal Open Market Committee members “agreed that the ongoing public health crisis would weigh heavily on economic activity, employment, and inflation in the near term,” according to the […]