The Federal Reserve has issued its FOMC statement for January 29, 2025, citing solid economic expansion and a low unemployment rate. However, inflation remains elevated at around 2% over the long-term objective.
The Committee aims to achieve maximum employment and maintain this inflation target, with risks in balance. It will continue to monitor data and adjust monetary policy if necessary to support maximum employment and return inflation to its 2% goal.
The FOMC maintained the federal funds rate range at 4-1/4 to 4-1/2 percent, but noted it will reassess based on incoming data and evolving outlook. The Committee also plans to reduce Treasury security holdings in line with its goals.
The statement was approved by all members of the Committee, including Chair Jerome H. Powell and Vice Chairman John C. Williams.
Source: https://www.federalreserve.gov/newsevents/pressreleases/monetary20250129a.htm