FOMC
[sounds slightly on the hawkish side, though not strongly so - that
Lacker won’t give up!]
http://www.federalreserve.gov/boarddocs/press/monetary/2006/20061212/
December 12, 2006 For immediate release
The Federal Open Market Committee decided today to keep its target
for the federal funds rate at 5-1/4 percent.
Economic growth has slowed over the course of the year, partly
reflecting a substantial cooling of the housing market. Although
recent indicators have been mixed, the economy seems likely to expand
at a moderate pace on balance over coming quarters.
Readings on core inflation have been elevated, and the high level of
resource utilization has the potential to sustain inflation
pressures. However, inflation pressures seem likely to moderate over
time, reflecting reduced impetus from energy prices, contained
inflation expectations, and the cumulative effects of monetary policy
actions and other factors restraining aggregate demand.
Nonetheless, the Committee judges that some inflation risks remain.
The extent and timing of any additional firming that may be needed to
address these risks will depend on the evolution of the outlook for
both inflation and economic growth, as implied by incoming information.
Voting for the FOMC monetary policy action were: Ben S. Bernanke,
Chairman; Timothy F. Geithner, Vice Chairman; Susan S. Bies; Donald
L. Kohn; Randall S. Kroszner; Frederic S. Mishkin; Sandra Pianalto;
William Poole; Kevin M. Warsh; and Janet L. Yellen. Voting against
was Jeffrey M. Lacker, who preferred an increase of 25 basis points
in the federal funds rate target at this meeting.