Fed Still On Pause
Today, for the 2nd consecutive meeting, the Federal Reserve kept the federal funds rate at 2%. The statement seems to indicate the risks are balanced between growth and inflation and that, therefore, the Fed is on pause for the foreseeable future (FOMC Aug 5 Statement).
In the statement, they moved around a couple of sentences and kicked off the inflation paragraph by flatly saying “Inflation has been high”. But for the most part it has the same tone as the June 25 statement.
Oil, gold and the euro/$ are pretty much the same as they were before the statement.