Fed Raises Rates for Second Time This Year

The video discusses the Federal Reserve's interest rate changes, projecting a 25 basis point increase from 1.75% to 2% in 2018, with further increases expected in 2019 and 2020. The long-term rate remains at 2.9%. Unemployment is projected to decrease to 3.6% in 2018 and 3.5% in 2019 and 2020. PCE inflation is expected to overshoot earlier projections. The Fed has dropped forward guidance on maintaining an accommodative stance, and there is a 20 basis point increase in the interest on excess reserves rate, which is less than the usual 25 basis points.

What was the unemployment rate projected for 2018?

What significant change was made regarding forward guidance in the statement?