By that, we mean that we expect our decisions will be more data-dependent. If we are surprised on the upside, we are still prepared to be forceful. But we recognize that we have raised interest rates rapidly and that their effects are working their way through the economy.
In other words, we are moving from how much to raise interest rates to whether to raise interest rates. Our next policy decision is in January, and we will make that decision with the benefit of another seven weeks of data and an updated economic projection. Gauging how monetary policy is working So that gives you some insight into yesterday’s decision.