Along these lines, the FOMC has raised the target federal funds rate by 25 basis points at each of our last four meetings. As indicated in its most recent statement, the FOMC continues to support the assessment that removal of accommodation will likely proceed at a measured pace.
However, the Committee will respond to changes in economic prospects as needed to maintain price stability, and it is those developments that will ultimately determine the level and term structure of interest rates. 4  BIS Review 68/2004