September 17October 29,
2025
Federal Reserve issues FOMC statement
For release at 2:00 p.m. EDT
RecentShare
Available indicators suggest that growth
of economic activity moderated in the
first half of the year.has been expanding
at a moderate pace. Job gains have slowed this year,
and the unemployment rate has edged up but remainsremained
low. through August;
more recent indicators are consistent with these developments.
Inflation has moved up since earlier in the year and remains
somewhat elevated.
The Committee seeks to achieve maximum employment and
inflation at the rate of 2 percent over the longer run. Uncertainty about the
economic outlook remains elevated. The Committee is attentive to the risks to
both sides of its dual mandate and judges that downside risks to employment have
risenrose in recent months.
In support of its goals and in light of the shift in the
balance of risks, the Committee decided to lower the target range for the
federal funds rate by 1/4 percentage point to 3-3/4
to 4‑1/4 percent. In considering
additional adjustments to the target range for the federal funds rate, the
Committee will carefully assess incoming data, the evolving outlook, and the
balance of risks. The Committee will continue
reducing decided to conclude the reduction of its
holdings of Treasuryaggregate
securities and agency debt and agency mortgage‑backed
securitiesholdings on December 1. The Committee
is strongly committed to supporting maximum employment and returning inflation
to its 2 percent objective.
In assessing the appropriate stance of monetary policy, the Committee will continue to monitor the implications of incoming information for the economic outlook. The Committee would be prepared to adjust the stance of monetary policy as appropriate if risks emerge that could impede the attainment of the Committee's goals. The Committee's assessments will take into account a wide range of information, including readings on labor market conditions, inflation pressures and inflation expectations, and financial and international developments.
Voting for the monetary policy action were Jerome H. Powell,
Chair; John C. Williams, Vice Chair; Michael S. Barr; Michelle W. Bowman; Susan
M. Collins; Lisa D. Cook; Austan D. Goolsbee; Philip N. Jefferson; Alberto G.
Musalem; Jeffrey R. Schmid; and Christopher J.
Waller. Voting against this action waswere
Stephen I. Miran, who preferred to lower the target range for the federal funds
rate by 1/2 percentage point at this meeting.,
and Jeffrey R. Schmid, who preferred no change to the target range for the
federal funds rate at this meeting.
