Consumer prices rose in May by the most in more than a year, showing U.S. companies are gaining some pricing power as the economy strengthens, and the homebuilding industry stabilized after a first-quarter swoon.
The Federal Open Market Committee will release its policy statement after tapering the size of the Fed’s monthly bond purchases by $10 billion in each of their four previous meetings.
Builders broke ground on 1 million U.S. homes in May, indicating the industry is picking up this quarter after a weather-induced slump to start the year.
The following is a reformatted version of the statement released in Washington today by the Federal Reserve’s Federal Open Market Committee:
William Poole, DMJ’s Jones Discuss Fed Decision