The Federal Open Market Committee raised the target range for the federal funds rate by 0.25 percentage point in its March 2022 meeting. In its post-meeting statement, the Committee said that, with appropriate firming in the stance of monetary policy, it expects inflation to return to its 2% objective and the labor market to remain strong.
Economic activity and employment have continued to strengthen, with strong job gains and falling unemployment. Inflation remains elevated, reflecting supply and demand imbalances related to the pandemic, higher energy prices, and broader price pressures.
The Committee noted that Russia’s invasion of Ukraine is causing tremendous human and economic hardship. The implications for the U.S. economy are highly uncertain, but in the near term the invasion and related events are likely to create additional upward pressure on inflation and weigh on economic activity.
The Committee said it will continue to monitor incoming information, including public health, labor market conditions, inflation pressures and inflation expectations, and financial and international developments.
What does this mean for you? Let’s rewind.
March 2022 FOMC Rewind
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