FOMC Rate Decision and Statement

The Federal Open Market Committee (FOMC) is a committee within the Federal Reserve System that meets eight times per year (every six weeks) and consists of five of the 12 Federal Reserve Bank presidents and seven members of the Federal Reserve Board of Governors.

The Federal Reserve Committee is the principal organ of the U.S national monetary policy and makes key decisions about interest rates and the growth of the United States money supply. The Committee sets monetary policy by specifying the short-term objective for the Fed's open market operations, which is currently a target level for the federal funds rate (the rate that commercial banks charge between themselves for overnight loans).

The FOMC decides whether to change either of the two key interest rates:

  • Fed Funds target; and
  • Discount rate.

The FOMC also directs operations undertaken by the Federal Reserve System in Foreign Exchange markets, although any intervention in these markets is coordinated with the U.S. Treasury, which has responsibility for formulating U.S. policies regarding the exchange value of the dollar.

The statement released after the meeting is carefully monitored by traders and usually changes are minimal. Hence any changes can signal Fed bias and any forward-looking views on the U.S economy. The FOMC Statement also contains the outcome of the vote on interest rates and other policy measures, along with commentary about the economic conditions that influenced the votes of the 12 members.


Federal Reserve Bank Rotation on the FOMC

Committee membership changes
at the first regularly scheduled meeting of the year.

2012 FOMC Meetings

2013 2014 2015
Members New York
Chicago
Boston
St. Louis
Kansas City
New York
Cleveland
Philadelphia
Dallas
Minneapolis
New York
Chicago
Richmond
Atlanta
San Francisco
Alternate
Members
New York†
Cleveland
Philadelphia
Dallas
Minneapolis
New York†
Chicago
Richmond
Atlanta
San Francisco
New York†
Cleveland
Boston
St. Louis
Kansas City

†For the Federal Reserve Bank of New York,
the First Vice President is the alternate for the President.

MonthDays
January24th – 25th
March13th
April24th - 25th
June19th -20th
July31th
September12th
October23th - 24th
December11th