Dot plot - June 2017 FOMC Meeting. One more hike in 2017. Longer run path unchanged
The dot plot for the 2017 sees one more rate hike for 2017. In 2018, the mix of forecasts are very similar from the March forecast. Five members expect rates to be rates to rise to 2 to 2.25%. That is down from 6 members. The 6th vote forecasts a lower rate by 0.25%. The skew of forecasts for forward years (2019 and longer term) remains very close to March's results.
This is the last dot plot from the March meeting.
All that's really happened here is that Dan Tarullo's dot dropped off because he retired.
Below is the table of the central tendencies. GDP is higher in 2017 by 0.1% and unchanged further out.
The unemployment rate is lower in 2017 and in the future (from 4.5% to 4.2%).
Inflation is expected to be lower in 2017 (1.6% vs 1.9% for headline and 1.7% vs 1.9% in core) but is expected to rise to 2.0% in 2018 and 2019.
