- Chip Somodevilla/Getty Images
The Fed pushed up their expectations for economic growth, dropped their outlook for the unemployment rate ever so slightly, and increased their expected number of rate hikes in 2017 to three from two.
Additionally, the Fed did something it’s never done: raise its long-term interest rate outlook.
The median longer-term projection for interest rates is the Fed’s estimate of where interest rates will be further than four years out from the current year.
The Fed first released this projection in 2012, and it has been gradually revised down as inflation and growth have undershot expectations.
Now, with the Fed seeing stronger inflation coming into the economy and the recent boost to economic growth, the long-term interest rate projection was finally raised.
- Andy Kiersz/Business Insider