Fed comments on jobs market gets us ready for hikes
The underlying tone for the Fed on jobs recently has been;
"The Committee anticipates that it will be appropriate to raise the target range for the federal funds rate when it has seen further improvement in the labor market"
Today that changed to;
"The Committee anticipates that it will be appropriate to raise the target range for the federal funds rate when it has seen some further improvement in the labor market"
That reduces the time they are looking to wait to see further gains and suggests that they are very nearly at their unspoken target for the jobs market. A big labour report in August could swing a hike for September
The rest of the statement was light in changes, and most notably is the inclusion that slack is lessening
"On balance, a range of labor market indicators suggests that underutilization of labor resources has diminished since early this year"
Here's the full comparison (June/July)
Fed statement comparison
