FOMC
Federal monetary committee
The FOMC is the Federal Open Market Committee, the branch of the Federal Reserve System that sets U.S. monetary policy.
It meets eight times yearly to decide interest rates and other measures affecting money supply.
Financial markets watch FOMC announcements closely, as rate decisions ripple through stocks, bonds, and currencies: Markets rallied after the FOMC held rates steady.
US central banking system
- FedU.S. central bank
- central bankNational currency management institution
- boardFlat rigid panel
- governorsState or provincial leaders
committee · chairman · policymakers · Washington · regional banks · presidents · voting members · staff
Price paid for borrowing
- rate cutLowered borrowing cost
- tighteningMaking less loose
- easingReducing strain or difficulty
- quantitative easingAsset purchases to boost economy
QE · tapering · balance sheet · accommodative · restrictive · dot plot · projections · normalization
American finance hub
- tradersProfessional buyers and sellers
- bondsTies that unite
- equitiesOwnership stakes in corporations
- volatilityRapid, unpredictable changeability
expectations · pricing · futures · swaps · Bloomberg · Reuters · reaction · selloff
Public declaration of information
- statementExpressed claim or fact
- minutesSixty-second intervals
- press conferenceOrganized media Q&A
- decisionSettled course of action
calendar · schedule · blackout period · deliberations · vote · dissent · unanimous · consensus
Federal Reserve
US central banking system
- FedU.S. central bank
- central bankNational currency management institution
- boardFlat rigid panel
governors · committee · chairman · policymakers · Washington · regional banks · presidents · voting members · staff · economists
interest rates
Price paid for borrowing
- rate cutLowered borrowing cost
- tighteningMaking less loose
- easingReducing strain or difficulty
quantitative easing · QE · tapering · balance sheet · accommodative · restrictive · dot plot · projections · normalization · stimulus
Wall Street
American finance hub
volatility · expectations · pricing · futures · swaps · Bloomberg · Reuters · reaction · selloff · rally
announcement
Public declaration of information
- statementExpressed claim or fact
- minutesSixty-second intervals
- press conferenceOrganized media Q&A
decision · calendar · schedule · blackout period · deliberations · vote · dissent · unanimous · consensus · summary
Fedspeak
Deliberately ambiguous economic language
- guidanceAdvice for decisions
- signalingConveying information nonverbally
- transparencyState of being see-through
messaging · tone · language · nuance · interpretation · parsing · rhetoric · hints · pivot · patience
FOMCgold standard
Measure of ultimate quality
cryptocurrency · Bitcoin · dollarization · Austrian economics · hard money
FOMCCongress
U.S. lawmaking body
Treasury Department · fiscal policy · tax policy · government spending · appropriations committee