MNI:Five Things We Learned From The November 1 FOMC Statement>

By Jean Yung, Kevin Kastner, Holly Stokes and Sara Haire

     WASHINGTON (MNI) - The following are the key points from the 

FOMC statement released Wednesday: 

     - FOMC kept the funds rate at 1.00% to 1.25% on unanimous vote and 

gave no direct guidance for the December meeting, with little change to 

the statement from September, but it did seem to downplay the impact of 

the storms. As a result, it appears the FOMC is on track for December 

hike. 

     - The statement noted that the labor market continued to strengthen 

and economic activity grew at a "solid pace" despite the impact of the 

hurricanes.

     - The FOMC acknowledged that in the aftermath of the hurricanes, 

payrolls declined and energy prices rise, However, they noted that at 

the same time, the unemployment rate slipped further and core inflation 

"remained soft." 

     - The Committee repeated that the stance of monetary policy 

remains accommodative.

     - The Committee also repeated the language regarding the balance of 

risks, that inflation should return to near the 2% objective, and that 

the FOMC continues to monitor inflation closely. 

     ** MNI Washington Bureau: 202-371-2121 ** 

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