Anxiously Awaiting the FOMC – “Susan On Money” Week of 9/14/2015

The meeting this week is one of eight regularly scheduled meetings during the year. Minutes should be released about three weeks after any policy decision is made. Many believe a decision could come this week. We’ll see but I sure hope so.  I don’t think a modest rise will do anything to markets other than restore some confidence in our economy.

Here is what the FOMC may raise:

The discount rate is the interest rate charged to commercial banks and other depository institutions on loans they receive from their regional Federal Reserve Bank’s lending facility – the discount window. The Federal Reserve Banks offer three discount window programs to depository institutions: primary credit, secondary credit, and seasonal credit, each with its own interest rate. All are fully secured. (Learn more at www.federalreserve.gov)

A few facts about the FOMC:

1) Became responsible for setting monetary policy in 1913.

2)Their tools are control of open market operations, the discount rate and reserve requirements.

3) The FOMC consists of twelve members.

4) Minutes, transcripts and other historical materials can be found @ www.federalreserve.gov/monetarypolicy

The site is easy to navigate and full of some very good reads. Check it out.

Each September, we work diligently to evaluate progress toward annual goals and plan for the fourth quarter which may be strong. This year will be no exception.

Let’s hope we get the initial raise or at least some real clarity. Ambiguity is not a market friend.