US Federal Reserve Flags Potential for Recession and Inflation Risks
FOMC June Meeting Minutes Show Potentially Turbulent Path Ahead for the Rest of the Year
By USInMinutes
Published - Jul 05, 2023, 02:41 PM ET
Last Updated - Jul 18, 2023, 03:05 PM EDT
During its June meeting, the US Federal Reserve discussed the potential of a mild recession and expressed concerns about the GDP growth rate falling below projections.
Federal Reserve monetary policy
The released minutes of the June Federal Open Market Committee (FOMC) meeting shed light on the challenges ahead. The forecast highlighted the possibility of a mild recession later this year, attributed to the tightening of bank credit conditions and the already tight financial conditions. However, the staff also acknowledged the uncertain nature of the current economic climate, recognizing the potential for slow but continued economic growth.
