Mester said that keeping rates restrictive is not that concerning right now,giventhe strength of the jobs market. Fed policymakers stick to cautious script after April CPI inflation sparked rate cut hopes Key quotes Expects economic growth above trend this year. Unclear where inflationis headed. Inflation will decrease, but it will take longer. Keeping rates restrictive is notthat big arisk right nowgiventhe strength of the jobs market. Policy positionedwell,will need to monitor data.
When inflation falls below 2% or the Unemployment Rate is too high, the Fed may lower interest rates to encourage borrowing, which weighs on the Greenback. How often does the Fed hold monetary policy meetings? The Federal Reserve holds eight policy meetings a year, where the Federal Open Market Committee assesses economic conditions and makes monetary policy decisions.