Fed calendar shake-up: seven rate votes in 2027, six in 2028
Seven rate votes in 2027, six in 2028
Warsh made the announcement after the Fed left its rate unchanged at 3.75% to 4.00%. The Federal Open Market Committee (FOMC) has held eight scheduled meetings a year since 1981, NBC News reported.
“We believe eight meetings per year is the right number for the (Federal Open Market Committee), but in 2027, one meeting will focus exclusively on broad monetary policy strategy, with neither a vote on the federal funds rate nor a policy statement anticipated,” Warsh said at a press conference. “The rest will be regular FOMC policy setting meetings, and I expect that in 2028 we’ll have two meetings dedicated to discussions of strategy and six …”
In short, the Fed plans:
- Seven rate-setting meetings in 2027
- Six rate-setting meetings in 2028
- One strategy meeting in 2027 and two in 2028
Warsh said the goal is to spend more time on longer-term issues and less on the immediate rate environment. “Getting policy right involves assessing near-term developments at timely, regular and information-rich intervals,” he said. “But it’s equally important we reserve time and space as an intellectually diverse group for strategic deliberations, for thinking anew about big questions, looking out over longer time horizons.”
Warsh began seriously discussing fewer meetings in July, according to the FOMC’s minutes. He argued that a longer gap would let the committee gather more data on the economy. The minutes referred to six meetings a year at that stage.
