FOMC alters language only slightly to say that..>

FED: FOMC alters language only slightly to say "JUDGES that SOME further 

gradual increases" and raises FFR rate to 2.25% to 2.50% on 10-0 vote 

and IOER rate by 20bp to 2.40%. However, the SEP now shows only two 

hikes in 2019. Still shows one hike in 2020 and none in 2021, but a 

downward adjustment to the long rate to 2.8% poises the FOMC to still 

breach that point in 2019. 

- They say risks ARE roughly balanced (rather than appear) and added  

they will "continue to monitor global economic and financial developments 

and assess their implications for the economic outlook."

- The economic projections for 2019 suggest slower GDP (2.3% vs prev 

2.5%) and core PCE growth (2.0% vs 2.1%) may have been a factor in the 

change to the rate outlook. The unemployment rate is still seen at 3.5% 

at the end of 2019.

- Further out, GDP growth was unrevised in 2020 at 2.0% and 1.8% in 

2021, while the unemployment rate was revised up in 2020 (3.6% vs 3.5%) 

and 2021 (3.8% vs 3.7%). Expectations for core prices were revised down 

to 2.0% for both 2020 and 2021.