Fed meeting notes: Some participants willing to consider rate cuts at next meeting

When considering the outlook for monetary policy, participants generally agreed that with economic growth and labor markets remaining solid and current monetary policy likely to be moderately restrictive, the Committee was well-positioned to wait for a clearer outlook for inflation and economic activity, according to newly released Federal Reserve June meeting notes. Some participants noted that they would be willing to consider lowering the target range for the policy rate at their next meeting if the data developed in line with their expectations. Some participants argued that the most likely appropriate path for monetary policy was a target range for not lowering the federal funds rate this year, noting that recent inflation data continued to exceed the Committee's 2 percent target. Several participants commented that the current target range for the federal funds rate may not be much higher than its neutral level.