FOMC economic projections: Fed sees slightly higher economic growth and jobless rate in 2019

In its updated economic projections, the Federal Open Market Committee, which today announced that it lowered the federal funds rate by 25 basis points to 1.75% - 2% range as expected, revealed that the Federal Reserve sees slightly higher economic growth and jobless rate in 2019 while not expecting any changes in inflation projections when compared to June forecasts. Below are some key takeaways, per Reuters.

"Federal Reserve's median view of appropriate fed funds rate at end-2019 1.9% (prev 2.4%)."

"Seven of 17 Fed policymakers see appropriate end-2019 Fed funds rate at 1.6%, 5 see it at 1.9% and 5 see it at 2.1%."

"Fed's median view of fed funds rate at end-2020 1.9% (prev 2.1%)."

"Fed's median view of fed funds rate at end-2021 2.1% (prev 2.4%)."

"Fed's median view of fed funds rate at end-2022 2.4%."

"Fed's median view of fed funds rate in longer run 2.5% (prev 2.5%)."

"Median Fed long-run forecasts - GDP growth 1.9% (prev 1.9%); jobless rate 4.2% (prev 4.2%); PCE price index 2.0% (prev 2.0%)."