Yellen Says Fed Rate Hike Reflects Progress in Economy

The Federal Open Market Committee (FOMC) has decided to increase the target range for the federal funds rate by 0.25%, reflecting economic progress towards employment and price stability. An addendum to policy normalization principles was released, detailing the process for normalizing the balance sheet size. Economic growth has rebounded after a first-quarter slowdown, supported by strong household spending, improved job market conditions, and increased business investment and exports. The economy is expected to continue expanding at a moderate pace over the coming years.

What are the objectives assigned to the Federal Open Market Committee by law?

What is the expected pace of economic expansion over the next few years?