Federal Reserve issues FOMC statement

Recent indicators point to modest growth in spending and production. Job gains have been robust in recent months, and the unemployment rate has remained low. Inflation added: has eased somewhat but remains removed: elevated, reflecting supply and demand imbalances related to the pandemic, higher food and energy prices, and broader price pressures. added: elevated.

Russia's war against Ukraine is causing tremendous human and economic removed: hardship. The war added: hardship and removed: related events are added: is contributing to removed: upward pressure on inflation and are weighing on added: elevated global removed: economic activity. added: uncertainty. The Committee is highly attentive to inflation risks.

The Committee seeks to achieve maximum employment and inflation at the rate of 2 percent over the longer run. In support of these goals, the Committee decided to raise the target range for the federal funds rate to removed: 4-1/4 added: 4-1/2 to removed: 4-1/2 added: 4-3/4 percent. The Committee anticipates that ongoing increases in the target range will be appropriate in order to attain a stance of monetary policy that is sufficiently restrictive to return inflation to 2 percent over time. In determining the removed: pace added: extent of future increases in the target range, the Committee will take into account the cumulative tightening of monetary policy, the lags with which monetary policy affects economic activity and inflation, and economic and financial developments. In addition, the Committee will continue reducing its holdings of Treasury securities and agency debt and agency mortgage-backed securities, as described in removed: the Plans for Reducing the Size of the Federal Reserve's Balance Sheet that were issued in May. added: its previously announced plans. The Committee is strongly committed to returning inflation to its 2 percent objective.

In assessing the appropriate stance of monetary policy, the Committee will continue to monitor the implications of incoming information for the economic outlook. The Committee would be prepared to adjust the stance of monetary policy as appropriate if risks emerge that could impede the attainment of the Committee's goals. The Committee's assessments will take into account a wide range of information, including readings on removed: public health, labor market conditions, inflation pressures and inflation expectations, and financial and international developments.

Voting for the monetary policy action were Jerome H. Powell, Chair; John C. Williams, Vice Chair; Michael S. Barr; Michelle W. Bowman; Lael Brainard; removed: James Bullard; Susan M. Collins; Lisa D. Cook; removed: Esther L. George; added: Austan D. Goolsbee; Patrick Harker; Philip N. Jefferson; removed: Loretta J. Mester; added: Neel Kashkari; Lorie K. Logan; and Christopher J. Waller.