Preview of the FOMC December meeting minutes due Wednesday

Author: Eamonn Sheridan | Category: Central Banks

The Federal Reserve will publish the December monetary policy meeting minutes at 1900 GMT on Wednesday 3 January 2018

Barclays have popped out a quickie preview, with a good few points of interest to watch for (bolding mine):
We expect the minutes to shed light on the inconsistencies in the committee's economic projections.
  • We believe that, in the absence of fiscal stimulus, some members may have reduced their inflation path in 2018 given recent softness on inflation.
  • With the stimulus from tax cuts, however, these members likely felt that the existing median policy path of three hikes next year struck the right balance between preventing too-large a fall in unemployment while showing commitment to the inflation target.
We will also read the minutes with an eye toward how many members may prefer a pause in rate hikes in March to further demonstrate commitment to returning inflation to 2.0% while assessing underlying inflation trends.

Chair Yellen will leave the Federal Reserve in February this year.