Now that the unemployment rate has dropped to below the "natural rate of unemployment", which is the rate associated with a healthy economy, the course of monetary policy will be determined largely by the Fed's second mandate - maintaining price stability.
Information received since the Federal Open Market Committee met in July indicates that the labor market has continued to strengthen and that economic activity has been risig moderately so far this year.
remarkable piece of political theater played out this week in Washington. Faced with the relief efforts needed following Hurricane Harvey, more anticipated for Hurricane Irma, and an upcoming national debt limit, the President made a deal with the Democratic leadership to provide relief funding and lift the debt limit for three months.
Economic activity expanded at a modest to moderate pace across all twelve Federal Reserve Districts in July and August. Consumer spending increased in most Districts, with gains reported for nonauto retail sales and tourism, but mixed results for vehicle sales.