On May 28th local time, the Federal Reserve released the minutes of the Federal Open Market Committee (FOMC) meeting from May 6th to 7th. The minutes of the meeting showed that the Federal Reserve agreed to maintain the target range for the federal funds rate between 4.25% and 4.5%. The attendees unanimously agreed that when considering the magnitude and timing of further adjustments to the target range of the federal funds rate, the committee will carefully evaluate subsequent data, constantly changing prospects, and risk balance. The minutes of the meeting stated that the committee will continue to monitor the impact of future information on the economic outlook when evaluating appropriate monetary policy positions. If there are risks that may hinder the achievement of the committee's goals, they will be prepared to adjust their monetary policy stance as appropriate. The attendees stated that their evaluation will take into account a wide range of information, including labor market conditions, inflation pressures and expectations, as well as financial and international developments.

       The committee's assessment believes that the uncertainty of the economic outlook has further intensified, and the risks of rising unemployment and inflation have increased. Participants pointed out that if inflation persists while economic growth and employment prospects weaken, the committee may face difficult trade-offs. The final adjustment range of government policies and their impact on the economy are highly uncertain. In this context, all attendees believe that maintaining the target range for the federal funds rate between 4.25% and 4.5% is appropriate. When considering the outlook for monetary policy, participants unanimously agreed that given the continued stability of economic growth and the labor market, the committee is fully capable of waiting for clearer prospects for inflation and economic activity. It is appropriate to adopt a cautious attitude until the net economic effects of a series of government policy adjustments become clearer.