FOMC statement of March 13, 2012
This statement of the Federal Open Market Committee, compared sentence by sentence with the scheduled statement before it: what changed in the text, and how the Committee voted.
In short
The Federal Open Market Committee released this statement on March 13, 2012. Compared with the previous scheduled statement of January 25, 2012: 6 sentences changed, 4 were added, 3 were removed, and 5 stayed the same. In words: 95 added, 89 removed. The vote on this statement: 1 member voted against: Jeffrey M. Lacker. On the January 25, 2012 statement: 1 member voted against: Jeffrey M. Lacker.
FOMC statement · March 13, 2012
Changed sentences against the previous scheduled statement (January 25, 2012)
5 unchanged · 6 changed · 4 added · 3 removed · words +95 / −89
- January 25, 2012
- 1 member voted against: Jeffrey M. Lacker.
- March 13, 2012
- 1 member voted against: Jeffrey M. Lacker.
Information received since the Federal Open Market Committee met in December January suggests that the economy has been expanding moderately, notwithstanding some slowing in global growth.
While indicators point to some further improvement in overall labor market conditions, the unemployment rate remains elevated.
Household spending has continued to advance, but growth in business fixed investment has slowed, and the housing sector remains depressed.
Labor market conditions have improved further; the unemployment rate has declined notably in recent months but remains elevated.
Household spending and business fixed investment have continued to advance.
Inflation has been subdued in recent months, although prices of crude oil and longer-term inflation expectations gasoline have remained stable increased lately.
Longer-term inflation expectations have remained stable.
The Committee expects moderate economic growth over coming quarters to be modest and consequently anticipates that the unemployment rate will decline only gradually toward levels that the Committee judges to be consistent with its dual mandate.
Strains in global financial markets have eased, though they continue to pose significant downside risks to the economic outlook.
The Committee also anticipates that over coming quarters, inflation will run at levels at or below those consistent with the Committee's dual mandate.
The recent increase in oil and gasoline prices will push up inflation temporarily, but the Committee anticipates that subsequently inflation will run at or below the rate that it judges most consistent with its dual mandate.
To support a stronger economic recovery and to help ensure that inflation, over time, is at levels the rate most consistent with the its dual mandate, the Committee expects to maintain a highly accommodative stance for monetary policy.
Voting against the action was Jeffrey M. Lacker, who preferred to omit the description of the time period over which does not anticipate that economic conditions are likely to warrant exceptionally low levels of the federal funds rate through late 2014.
Show the 5 unchanged sentences
Consistent with its statutory mandate, the Committee seeks to foster maximum employment and price stability.
In particular, the Committee decided today to keep the target range for the federal funds rate at 0 to 1/4 percent and currently anticipates that economic conditions--including low rates of resource utilization and a subdued outlook for inflation over the medium run--are likely to warrant exceptionally low levels for the federal funds rate at least through late 2014.
The Committee also decided to continue its program to extend the average maturity of its holdings of securities as announced in September.
The Committee is maintaining its existing policies of reinvesting principal payments from its holdings of agency debt and agency mortgage-backed securities in agency mortgage-backed securities and of rolling over maturing Treasury securities at auction.
The Committee will regularly review the size and composition of its securities holdings and is prepared to adjust those holdings as appropriate to promote a stronger economic recovery in a context of price stability.
Source: Board of Governors of the Federal Reserve System — the statement on federalreserve.gov · January 25, 2012
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The page sets this statement of the Federal Open Market Committee next to the scheduled statement before it, sentence by sentence. The Fed’s sentences are shown as published, in English.
In a changed sentence, the words that were dropped are struck through and the new words are underlined. A sentence found only in the newer statement is marked as added; one found only in the older statement, as removed. Sentences that did not change are collapsed.
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