Fed Says No Interest Rate Hikes in Short Term
The Federal Reserve's December meeting minutes suggest that interest rate hikes are unlikely in the next several months because policymakers want some time to gauge the economic effects of recent market instability.
According to the minutes, released Wednesday, officials felt that worldwide growth and trade tensions made "the extent and timing of further policy firming less clear than earlier."
"There should be no particular bias towards raising or lowering rates until the data more clearly indicate the path for domestic and international economic growth," Boston Fed President Eric Rosengren advocated.
The minutes also indicated that Fed officials were prepared to step away from language related to "further gradual increases" in the benchmark rate in their communications.