According to the minutes announced by the FED on May 25 at 21.00, officials emphasized that they should increase the interest rates more than the market expects.
According to the published report, Fed officials 50 basis pointsIn addition to agreeing on the increase in similar rate hike they said it was necessary. Also, the Fed a policy that is neutral (within the framework of market expectations) They made statements that they may need to act beyond monitoring.
It is stated in the minutes that most of the officials decided in the following meetings that an increase of 50 basis points was an appropriate decision to be made.
In addition, the FOMC, which is the monetary policy determining unit of the FED, 9 trillion dollarson its balance sheet downsizing stated that it is necessary.
Interest rate hike last Highest rate hike in 22 years recorded as the last move, Highest inflation level in 40 years It was discarded as a result of demolition efforts.
“Until the end of the year,” described as the neutral stance of the FED by the markets. 2.5% to 2.75%″It is expected to move within the policy rate range of . However, when the minutes are examined, the statements of the FOMC officials are in line with the interest rate hikes that the FED will make until the end of the year. to rise above this Indicates that it is ready.
It was stated in the report that all participants once again expressed their determination to take the necessary steps to restore stability.
While inflation was mentioned 60 times in the report, the authorities’ concerns about price increases despite all the policies to be implemented were also included. In addition, the authorities are responsible for the war in Ukraine and the COVID-induced curfews in China. triggers inflation. they stated.