FOMC

Federal Reserve Bank of St. Louis President James Bullard said the U.S. economy has enough momentum to continue its recovery from the coronavirus slump even if Congress fails to pass additional taxpayer support.

Most panelists don't expect rates to budge in the three-year projection horizon.

Judy Shelton, President Donald Trump’s controversial nominee for the Federal Reserve Board, doesn’t yet have enough support in the Republican-controlled Senate to win confirmation, said Sen. John Thune, the chamber’s No. 2 GOP leader.

With its new policy framework in place, the Fed will decide how it can use its tools more aggressively and effectively to achieve its primary goal of increasing jobs and wage growth through a more robust economic rebound.

The dot plot will be the star of the meeting, but the coronavirus and the elections will be part of the discussion, economists say.

Despite a positive employment report last week, Chair Powell predicted a slow recovery with COVID-19 still not under control.

Although there was moderate growth of activity in the economy, continued volatility and uncertainty gives some cause for concern about the overall outlook.

The Fed will have to "pivot from stabilization to accommodation" during the pandemic, Fed governor says.

Federal Reserve Vice Chair Richard Clarida left open the possibility of employing Treasury yield caps at some point in the future, though he indicated it’s not likely now and reiterated the central bank’s rejection of negative interest rates.

There isn’t any urgency for the Federal Reserve to offer more clarity on how long it will hold interest rates near zero at the moment because investors already understand the central bank won’t be tightening for a while, Minneapolis Fed President Neel Kashkari said.