FOMC statement of January 27, 2021
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 January 27, 2021. Compared with the previous scheduled statement of December 16, 2020: 2 sentences changed, 1 was added, 1 was removed, and 13 stayed the same. In words: 32 added, 30 removed. The vote on this statement: Unanimous. On the December 16, 2020 statement: Unanimous.
FOMC statement · January 27, 2021
Changed sentences against the previous scheduled statement (December 16, 2020)
13 unchanged · 2 changed · 1 added · 1 removed · words +32 / −30
- December 16, 2020
- Unanimous.
- January 27, 2021
- Unanimous.
Economic activity and employment have continued to recover but remain well below their levels at the beginning of the year.
The pace of the recovery in economic activity and employment has moderated in recent months, with weakness concentrated in the sectors most adversely affected by the pandemic.
The path of the economy will depend significantly on the course of the virus, including progress on vaccinations.
The ongoing public health crisis will continue continues to weigh on economic activity, employment, and inflation in the near term, and poses considerable risks to the economic outlook over the medium term.
Show the 13 unchanged sentences
The Federal Reserve is committed to using its full range of tools to support the U.S. economy in this challenging time, thereby promoting its maximum employment and price stability goals.
The COVID-19 pandemic is causing tremendous human and economic hardship across the United States and around the world.
Weaker demand and earlier declines in oil prices have been holding down consumer price inflation.
Overall financial conditions remain accommodative, in part reflecting policy measures to support the economy and the flow of credit to U.S. households and businesses.
The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run.
With inflation running persistently below this longer-run goal, the Committee will aim to achieve inflation moderately above 2 percent for some time so that inflation averages 2 percent over time and longer‐term inflation expectations remain well anchored at 2 percent.
The Committee expects to maintain an accommodative stance of monetary policy until these outcomes are achieved.
The Committee decided to keep the target range for the federal funds rate at 0 to 1/4 percent and expects it will be appropriate to maintain this target range until labor market conditions have reached levels consistent with the Committee's assessments of maximum employment and inflation has risen to 2 percent and is on track to moderately exceed 2 percent for some time.
In addition, the Federal Reserve will continue to increase its holdings of Treasury securities by at least $80 billion per month and of agency mortgage‐backed securities by at least $40 billion per month until substantial further progress has been made toward the Committee's maximum employment and price stability goals.
These asset purchases help foster smooth market functioning and accommodative financial conditions, thereby supporting the flow of credit to households and businesses.
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 public health, labor market conditions, inflation pressures and inflation expectations, and financial and international developments.
Source: Board of Governors of the Federal Reserve System — the statement on federalreserve.gov · December 16, 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.
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