Federal Reserve issues FOMC statement

First read

The Federal Open Market Committee decided by a 10-2 vote to maintain the target range for the federal funds rate at 3-3/4% to 4%.

The statement noted that economic activity is expanding at a strong pace, domestic spending is resilient, productivity growth is strong, capital investment is solid, employment growth has kept pace with the size of the labor force, and the unemployment rate has changed little.

Inflation remains elevated, and the Committee will continue to gather information to determine the appropriate policy stance and ensure that inflation returns to the 2% target in a timely manner.

Lisa D. Cook and Beth M. Hammack dissented, favoring a 1/4 percentage point increase in the target range for the federal funds rate at this meeting.