FOMC statement of March 3, 2020
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 unscheduled statement on March 3, 2020 (March 2 (unscheduled) Meeting - 2020). Compared with the previous scheduled statement of January 29, 2020: 0 sentences changed, 4 were added, 11 were removed, and 0 stayed the same. In words: 86 added, 273 removed. The vote on this statement: Unanimous. On the January 29, 2020 statement: Unanimous.
An unscheduled statement (Fed calendar: “March 2 (unscheduled) Meeting - 2020”). It is compared with the previous scheduled statement, so many sentences can look changed because the format differs. The comparison with the statement right before it is further down.
FOMC statement · March 3, 2020
Changed sentences against the previous scheduled statement (January 29, 2020)
0 unchanged · 0 changed · 4 added · 11 removed · words +86 / −273
- January 29, 2020
- Unanimous.
- March 3, 2020
- Unanimous.
Information received since the Federal Open Market Committee met in December indicates that the labor market remains strong and that economic activity has been rising at a moderate rate.
Job gains have been solid, on average, in recent months, and the unemployment rate has remained low.
Although household spending has been rising at a moderate pace, business fixed investment and exports remain weak.
On a 12‐month basis, overall inflation and inflation for items other than food and energy are running below 2 percent.
Market-based measures of inflation compensation remain low; survey-based measures of longer-term inflation expectations are little changed.
Consistent with its statutory mandate, the Committee seeks to foster maximum employment and price stability.
The Committee decided to maintain the target range for the federal funds rate at 1‐1/2 to 1-3/4 percent.
The Committee judges that the current stance of monetary policy is appropriate to support sustained expansion of economic activity, strong labor market conditions, and inflation returning to the Committee's symmetric 2 percent objective.
The Committee will continue to monitor the implications of incoming information for the economic outlook, including global developments and muted inflation pressures, as it assesses the appropriate path of the target range for the federal funds rate.
In determining the timing and size of future adjustments to the target range for the federal funds rate, the Committee will assess realized and expected economic conditions relative to its maximum employment objective and its symmetric 2 percent inflation objective.
This assessment will take into account a wide range of information, including measures of labor market conditions, indicators of inflation pressures and inflation expectations, and readings on financial and international developments.
The fundamentals of the U.S. economy remain strong.
However, the coronavirus poses evolving risks to economic activity.
In light of these risks and in support of achieving its maximum employment and price stability goals, the Federal Open Market Committee decided today to lower the target range for the federal funds rate by 1/2 percentage point, to 1 to 1‐1/4 percent.
The Committee is closely monitoring developments and their implications for the economic outlook and will use its tools and act as appropriate to support the economy.
Source: Board of Governors of the Federal Reserve System — the statement on federalreserve.gov · January 29, 2020
Compared with the statement right before it (January 29, 2020)
FOMC statement · March 3, 2020
Changed sentences against the previous statement (January 29, 2020)
0 unchanged · 0 changed · 4 added · 11 removed · words +86 / −273
- January 29, 2020
- Unanimous.
- March 3, 2020
- Unanimous.
Information received since the Federal Open Market Committee met in December indicates that the labor market remains strong and that economic activity has been rising at a moderate rate.
Job gains have been solid, on average, in recent months, and the unemployment rate has remained low.
Although household spending has been rising at a moderate pace, business fixed investment and exports remain weak.
On a 12‐month basis, overall inflation and inflation for items other than food and energy are running below 2 percent.
Market-based measures of inflation compensation remain low; survey-based measures of longer-term inflation expectations are little changed.
Consistent with its statutory mandate, the Committee seeks to foster maximum employment and price stability.
The Committee decided to maintain the target range for the federal funds rate at 1‐1/2 to 1-3/4 percent.
The Committee judges that the current stance of monetary policy is appropriate to support sustained expansion of economic activity, strong labor market conditions, and inflation returning to the Committee's symmetric 2 percent objective.
The Committee will continue to monitor the implications of incoming information for the economic outlook, including global developments and muted inflation pressures, as it assesses the appropriate path of the target range for the federal funds rate.
In determining the timing and size of future adjustments to the target range for the federal funds rate, the Committee will assess realized and expected economic conditions relative to its maximum employment objective and its symmetric 2 percent inflation objective.
This assessment will take into account a wide range of information, including measures of labor market conditions, indicators of inflation pressures and inflation expectations, and readings on financial and international developments.
The fundamentals of the U.S. economy remain strong.
However, the coronavirus poses evolving risks to economic activity.
In light of these risks and in support of achieving its maximum employment and price stability goals, the Federal Open Market Committee decided today to lower the target range for the federal funds rate by 1/2 percentage point, to 1 to 1‐1/4 percent.
The Committee is closely monitoring developments and their implications for the economic outlook and will use its tools and act as appropriate to support the economy.
Source: Board of Governors of the Federal Reserve System — the statement on federalreserve.gov · January 29, 2020
How to read this page
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.
The counts say how many sentences fall into each of those groups, and how many words were added and removed. They count edits; they do not weigh them.
The vote lines show how the Committee voted on each statement and who voted against, as the statement itself reports it.
The comparison is made by a fixed rule, not by a model, and it reads nothing into the text.
The Fed’s text is shown in its original English and is not translated. This page only shows what changed in the text; it is not a reading of direction, tone or risk, and it is not part of the MVIE score. MVIE Pro is independent research and is not affiliated with the Federal Reserve.