[Federal Register Volume 71, Number 144 (Thursday, July 27, 2006)]
[Notices]
[Pages 42642-42643]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-12040]


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FEDERAL RESERVE SYSTEM


Federal Open Market Committee; Domestic Policy Directive of June 
28-29, 2006

    In accordance with Sec.  271.25 of its rules regarding availability 
of information (12 CFR part 271), there is set forth below the domestic 
policy directive issued by the Federal Open Market Committee at its 
meeting held on June 28-29, 2006.\1\
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    \1\ Copies of the Minutes of the Federal Open Market Committee 
Meeting on June 28-29, 2006, which includes the domestic policy 
directive issued at the meeting, are available upon request to the 
Board of Governors of the Federal Reserve System, Washington, DC 
20551. The minutes are published in the Federal Reserve Bulletin and 
in the Board's annual report.
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    The Federal Open Market Committee seeks monetary and financial 
conditions that will foster price stability and promote sustainable 
growth in output. To further its long-run objectives, the Committee in 
the immediate future seeks conditions in reserve markets consistent 
with increasing the federal funds rate to an average of around 5\1/4\ 
percent.

[[Page 42643]]

    The vote encompassed approval of the paragraph below for inclusion 
in the statement to be released shortly after the meeting:

    Although the moderation in the growth of aggregate demand should 
help to limit inflation pressures over time, the Committee judges 
that some inflation risks remain. The extent and timing of any 
additional firming that may be needed to address these risks will 
depend on the evolution of the outlook for both inflation and 
economic growth, as implied by incoming information. In any event, 
the Committee will respond to changes in economic prospects as 
needed to support the attainment of its objectives.

     By order of the Federal Open Market Committee, July 21, 2006.
Vincent R. Reinhart,
Secretary, Federal Open Market Committee.
 [FR Doc. E6-12040 Filed 7-26-06; 8:45 am]
BILLING CODE 6210-01-P