Fed Sees Slowdown as ‘Transitory’

The Federal Reserve policy making arm, the Federal Reserve Open Market Committee, in a just released statement  attributed the economy’s sharp first-quarter slowdown to transitory factors, in effect signaling an increase in short-term interest rates remains on the table for the months ahead.:

Information received since the Federal Open Market Committee met in March suggests that economic growth slowed during the winter months, in part reflecting transitory factors. The pace of job gains moderated, and the unemployment rate remained steady.

No surprise here to EPJ Daily Alert readers. A rate hike is coming this summer.


 --RW