Fed Sees Lagging Labor Market Recovery. Cuts Inflation Forecast. Is More QE Coming?
ByPosted To: MBS Commentary
The Thanksgiving slowdown prevented me from posting the Federal Reserve’s updated economic forecast. The Fed’s Summary of Economic Projections are released once a quarter. They are attached to the minutes of four of the Committee’s FOMC meetings and are intended to convey information about FOMC participants’ assessments of their statutory economic targets. Projections are provided for output growth, unemployment, and inflation for the years 2010 to 2013 and over the longer run. They are based on information available through the end of the meeting and on each participant’s assumptions about factors likely to affect economic outcomes, including his or her assessment of appropriate monetary policy. Longer-run projections represent each participant’s assessment of the rate…(read more)