Federal Reserve Meeting Minutes: Some Participants Open to Considering a Rate Cut at the Next Meeting

According to a report by Jinse Finance, the latest minutes from the Federal Reserve's June meeting reveal that, when considering the outlook for monetary policy, participants generally agreed that, given the continued strength of economic growth and the labor market, and with current monetary policy possibly being moderately restrictive, the Committee is fully capable of waiting until the outlook for inflation and economic activity becomes clearer. Some participants noted that if data developments align with their expectations, they would be willing to consider lowering the target range for the policy rate at the next meeting. Some participants believed that the most likely appropriate path for monetary policy would be not to lower the target range for the federal funds rate this year, pointing out that recent inflation data continues to exceed the Committee’s 2% target. Several participants commented that the current target range for the federal funds rate may not be far above its neutral level.