As expected, today’s FOMC meeting came with zero surprises.

In addition to its standard boilerplate about inflation, the Fed stated it would begin balance sheet normalization “relatively soon”.

Here is the full Text of the FOMC Press Release.

Key Snips

Inflation on a 12-month basis is expected to remain somewhat below 2 percent in the near term but to stabilize around the Committee’s 2 percent objective over the medium term. Nearterm risks to the economic outlook appear roughly balanced, but the Committee is monitoring inflation developments closely.

The Committee expects to begin implementing its balance sheet normalization program relatively soon, provided that the economy evolves broadly as anticipated; this program is described in the June 2017 Addendum to the Committee’s Policy Normalization Principles and Plans.

Let the Debate Begin

Mike “Mish” Shedlock