Fed FOMC: at least one more hike (if not more) likely

The Fed FOMC hiked to 4.50% and said the following:

The Committee judges that some further policy firming may be needed to keep the risks to the attainment of both sustainable economic growth and price stability roughly in balance. In any event, the Committee will respond to changes in economic prospects as needed to foster these objectives.

The phrase "some further policy firming may be needed" tells us that a hike in March is likely (unless the economy falls apart).

Recent comments from Fed officials have indicated that there is still enough lingering anxiety about inflationary pressures, that the Fed is likely to seek more insurance (hikes) against any resurgence of inflation.

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-- Jack Krupansky